保险学复习资料

Speculative risk describes a situation in which there is a possibility of loss, but also a possibility of gain.Pure risk, in contrast, is used to designate those situations that involve only the chance of loss or no loss.Risk control consists of those techniques that are designed to minimize, at the least possible costs, those risks to which the organization is exposed.Risk financing in contrast to risk control, consists of those techniques that focus on arrangements designed to guarantee the availability of fund to meet those losses that do occur.That part of the rate that is intended to cover losses is called the pure premium when expressed in dollars and cents.The loading, which is intended to cover the expenses that will be required in the production and servicing of the insurance.The production department of an insurance company, sometimes called the agency department, is its sales or marketing division.Underwriting is the process of selecting and classifying exposures.The human life value is based on the individual’s income-earning ability; it is the present value of the income lost by dependents as a result of the person’s death. Need analysis the needs approach attempts to determine the amount of life insurance that should be purchased based on analysis of the needs of those who would suffer financial loss.Renewable-term policies include a contractual provision guaranteeing the insured the right to renew the policy for a limited number of additional periods.The conversion provision grants the insured the option to exchange the term contract for some type of permanent life insurance contract without having to provide evidence of insurability.A beneficiary may be primary or contingent.A primary beneficiary is the person first entitled to the proceeds of the policy following the death of the insured.A contingent beneficiary is entitled to the policy benefits only after the death of the primary or direct beneficiary.Under the named-peril approach, the specific perils for which coverage is provided are listed in the policy.Under the open-perils approach, the insurer agrees to pay for damage by any peril except those specifically excluded.Third-party coverage it undertakes to compensate someone who is not a party to thecontract, the injured person to whom the insured is liable.Occurrence policy cover errors or mistakes made during the policy period, with no time limit on the discovery of the injury.Claims-made form, in which the policy in effect at the time a claim is reported, responds for the loss, regardless of when the error was made.一．Risk may be subclassified in several ways. List the three principal ways in which risk may be categorized, and explain the distinguishing characteristics of each class.1. Financial and Nonfinancial risks;The term risk includes all situations in which there is an exposure to adversity. There is some element of risk in every aspect of human endeavor and many of these risks have no financial consequences.2. Static and dynamic risksDynamic risks are those resulting from changes in the economy. changes in the price level, consumer tastes, income and output and technology may cause financial loss to member of the economy.Static risks involve those losses that would occur even if there were no changes in the economy;3. Fundamental and particular risksFundamental risks involve losses that are impersonal in origin and consequence, by individuals rather than by the entire group.4. Pure and speculative risksSpeculative risk describes a situation in which there is a possibility of loss, but also a possibility of gain.The term pure risk, in contrast, is used to designate those situations that involve-only the chance of loss or no loss.二．List the four types of pure risk facing an individual or an organization and give an example of each.1. Personal risks:In general, earning power is subject to four perils:(a) Premature death (b) dependent old age (c) sickness or disability (d) unemployment2. Property risks(a) The loss of the property (b) loss of use of the property resulting in lost income or additional expenses.3. Liability risksPossibility of loss present assets or future income as a result of damages assessed or legal liability arising out of either intentional or unintentional torts, or invasion of the rights of others,4. Risks arising form failure of othersFailure of a contractor to complete a construction project as scheduled, or failure of debtors to make payments as expected.三．List and explain each of the desirable elements an insurable risk.1.There must be a sufficiently large number of homogeneous exposure units tomake the loss reasonably predictable. Insurance, as we have seen, is based on the operation of the law of large number.2.The loss produced by the risk must be definite and measurable. We must be ableto tell when a loss has taken place, and we must be able to set some value on the extent of it.3.The loss must be fortuitous pr accidental. The loss must be the result of acontingency; it must not be something that is certain to happen.4.The loss must not be catastrophic. It must be unlikely to produce loss to a verylarge percentage of the exposure units at the same time.四．Explain the dual application of the law of large numbers as it pertains to the operation of insurance.1. To estimate the underlying probability accurately the insurance company must have a sufficiently large sample. The large the sample, the more accurate will be the estimate of the probability.2. Once the estimate of the probability has been made, it must be applied to a sufficiently large number of exposure units to permit the underlying probability to work itself out.五．Identify the reasons for self-insurance and the disadvantages of self-insurance. The reasons1. First, as explained earlier, the cost of insurance must over the long run, exceed average losses.2. The organization may believe that its loss experience is significantly better than the average experience on which rates are made.3. In lines of insurance in which there are long delays between the time that a loss occurs and the time it is paid, insurers hold “reserves”, which represent liabilities for unpaid losses.4. Self-insurers can avoid the social load in insurance rates that results from statutory mandates that insurers cover certain exposures in which premiums are less than the losses for those insured.The disadvantages1. The greatest disadvantage of self-insurance is that can leave the organization exposed to catastrophic loss.2. Another disadvantage of a self-insurance program is that there may be greater variation of costs from year to year.3. Self-insurance of some exposures can create adverse employee and public relations.4. Loss of ancillary services. There are certain services provided by insurers that are lost when a company adopts a self-insurance program.六．Briefly distinguish between a direct beneficiary and a contingent beneficiary,between a revocable and an irrevocable beneficiary.A beneficiary may be primary or contingent.A primary beneficiary is the person first entitled to the proceeds of the policy following the death of the insured.A contingent beneficiary is entitled to the policy benefits only after the death of the primary or direct beneficiary.There are many classifications of beneficiaries, but for our purpose the most important is that in which the insured may or may not reserve the right to change the designation.The revocable designation is used in the vast majority of life insurance contracts today. The irrevocable beneficiary does not become the complete owner of the policy; this person’s interest is conditionally vested along with that of the insured.七. Briefly explain the distinction between named-peril coverage and open-perils coverage.Under the named-peril approach, the specific perils for which coverage is provided are listed in the policy.Under the open-perils approach, the insurer agrees to pay for damage by any peril except those specifically excluded.八．Distinguish between a claims-made malpractice policy and an occurrence policy. What factors prompted the development of the most recent of the two?Occurrence policy cover errors or mistakes made during the policy period, with no time limit on the discovery of the injury.Claims-made form, in which the policy in effect at the time a claim is reported, responds for the loss, regardless of when the error was made.③ = ﹩1000*②④ = ③*1st.Row of discount rate⑤ = ④/NO alive (from mortality table)③= ﹩1000*②④ from discounted rate table⑤ = ③*④⑥ = ∑⑤/1st .Row of alive。