The _______________ problem is when customers who are most likely to have a claim against an insurance company are those quickest to apply for an insurance contract. Group of answer choices a. Capital adequacy b. Default risk c. Adverse selection d. Mismatched maturity

The _______________ problem is when customers who are most likely to have a claim against an insurance company are those quickest to apply for an insurance contract. Group of answer choices a. Capital adequacy b. Default risk c. Adverse selection d. Mismatched maturity

Personal Finance

13th Edition

ISBN:9781337669214

Author:GARMAN

Publisher:GARMAN

Chapter12: Life Insurance Planning

Section12.1: How Much Life Insurance Do You Need?

Problem 3CC

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Adverse Selection

Question

The _______________ problem is when customers who are most likely to have a claim against an insurance company are those quickest to apply for an insurance contract.

Group of answer choices

a. Capital adequacy

b. Default risk

c. Adverse selection

d. Mismatched maturity

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