Free CFE Exam Braindumps (page: 12)

Page 12 of 105

The projection method is not totally accurate in developing the unearned premium reserve, it provides the best estimate based on prior experience and adjusted for current activities.

  1. True
  2. False

Answer(s): A



Which of the following is NOT the loss category?

  1. paid losses
  2. losses reserved for future payment
  3. losses incurred
  4. subsidiary losses

Answer(s): D



Which of the following is the loss characteristic?

  1. known vs. unknown
  2. reported vs. unreported
  3. short-tail vs. long-tail
  4. All of the above

Answer(s): D



The reserve for a reported claim that is established by an adjuster or a formula based on the company's loss experience is called:

  1. loss reserve
  2. case reserve
  3. adjustment reserve
  4. predefined reserve

Answer(s): B



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sena commented on May 31, 2019
I will see if this helps
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