Which of the following statements is (are) true with respect to catastrophe bonds?I.The bonds are issued by the U.S. Government.II.The bonds have relatively high interest (coupon) rates.

Functions of an insurance company’s legal department include which of the following?I.Lobbying for legislation favorable to the insurance industry.II.Drafting policy provisions.

Amy heads the legal staff of a large property and liability insurance company. Amy’s staff is likely involved in which of the following activities?

What is the legal significance of a material misrepresentation in an insurance application?

The primary function of an actuary is to

Liability items on an insurer’s balance sheet that reflect obligations that must be met in the future are called

Factors that may result in more restrictive underwriting decisions include which of the following?I.Inadequate rates.II.The unavailability of reinsurance at favorable terms.

All of the following are reasons for a primary insurer to use reinsurance EXCEPT

Which of the following statements about subrogation is true?

The underwriting process begins with the