1) ABC insurance company has a surplus share treaty with XYZ insurer and retains a line of 100,000$. The treaty contains five lines and provides for a maximum cession of 500,000$. Therefore, the retention and reinsurance provide the ability to issue up to 600,000$. ABC insurance company issued a 250,000$ policy for a premium of 6,000$ with one loss of 75,000$. Amount of premium received by ABC is_________

a.

None of the above

b.

6,000$

c.

2,400$

d.

4,400$

e.

3,600$

2)

_________ is a mutual insurer that provides life and health insurance to members of a social or religious organization

a.

Assessment mutual

b.

None of the above

c.

Advance premium mutual

d.

Fraternal insurer