AFSB 151 Practice Exam Q's
A type of reinsurance transaction that involves an agreement between the primary insurer and the
reinsurer specifying how to transfer risks, that defines the eligible risks in terms of lines
...
AFSB 151 Practice Exam Q's
A type of reinsurance transaction that involves an agreement between the primary insurer and the
reinsurer specifying how to transfer risks, that defines the eligible risks in terms of lines and
classes of business, that specifies the parties' obligations, and for which eligible risks are
automatically reinsured, is - ✔✔Treaty reinsurance
A surety's liability for a surety bond can only cease to exist when the underlying
obligation/agreement has - ✔✔been performed as specified in the contract or when the bond has
been canceled
An organization that uses its collected data to calculate loss costs that member company
underwriters use to determine premiums for risks is - ✔✔The SFAA
If the bond applicant is a business entity, from what parties do corporate sureties routinely
require indemnity agreements? - ✔✔any persons who have major financial interests in the entity
he surety bond three-party relationship, the party who guarantees fulfillment of the obligation
and who will either perform the obligation or pay the costs for its fulfillment is the?
READ the question fully - ✔✔surety
Suretyship and insurance are alike in that - ✔✔Insurance commissioners regulate both.
When evaluating a surety claim, claims representatives are often assisted by outside legal
counsel. What other professionals assist claims representatives? - ✔✔engineers
Following the Civil War, the growing number and complexity of financial/commercial
relationships led to the need for - ✔✔commercial suretyship
Designated depositories are banks a
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