n NISM Certifications
NSM General NISM
Medium

Why do insurers offer lower premiums when the insured chooses higher deductibles?

Practice question from IC 38 Mock Test 10 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Insurers prefer spending time on small claims

  2. B

    Insurers want to avoid financial stress from many small claims

  3. C

    The insured assumes more financial responsibility for claims

  4. Both A and B

    Correct answer

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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IC 38 Mock Test 10