Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A propertycasualty insurer brings in $6.26million in premiums on its homeowners MP line of insurance. The lines losses amount to $4,356,960, expenses are $1,602,560, and

A propertycasualty insurer brings in $6.26million in premiums on its homeowners MP line of insurance. The lines losses amount to $4,356,960, expenses are $1,602,560, and dividends are $162,760. The insurer earns $225,360 in the investment of its premiums. Calculate the lines loss ratio, expense ratio, dividend ratio, combined ratio (after dividends), investment ratio, operating ratio, and overall profitability. (Do not round intermediate calculations. Round your answers to 1 decimal place. (e.g., 32.1))

Loss ratio %
Expense ratio %
Dividend ratio %
Combined ratio %
Investment ratio %
Operating ratio %
Overall profitability %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Commercial Real Estate Finance

Authors: Gail Ramshaw, Mortgage Bank

1st Edition

0793157099, 9780793157099

More Books

Students also viewed these Finance questions

Question

69. In the match problem, say that (i, j),i Answered: 1 week ago

Answered: 1 week ago

Question

What requirement did Health Canada initially require of Aurora?

Answered: 1 week ago