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The Regional Insurance company is using the following data to make decisions regarding underwriting and pooling: Region A # of homes # of claims Total

The Regional Insurance company is using the following data to make decisions regarding underwriting and pooling:

Region A

# of homes

# of claims

Total

Year

Pool A

Losses

1

8000

630

$999,000.00

2

8000

590

$1,030,000.00

3

8000

720

$880,000.00

Region B

# of homes

# of claims

Total

Year

Pool B

Losses

1

10,000

980

$1,250,000.00

2

10,000

880

$1,150,000.00

3

10,000

920

$1,850,000.00

Compute the severity of losses Per Exposure for Region B:

Group of answer choices

$0.159

$0.169

$0.153

$0.148

$0.176

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