a. Yousif has purchased insurance for his home with four different companies, Company A covers 4,706, Company B covers 3,818, Company C covers 4,587 and Company D covers 3,121. Assuming the insurers follow a pro rata liability method, how much will the Company B pay if a loss of 7,554 occurs?

b. Asia life insurance insures a total of 1000 cars, has a loss adjustment expense of 5,673, underwriting expenses of 878 and have earned premiums worth 14,198. Based on this information calculate their Gross Rate using the pure premium method.

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