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Which of the following statement is correct? A pooling arrangement result in reduced risk (standard deviation) to the participants in Insurance distribution costs should not

image text in transcribed Which of the following statement is correct? A pooling arrangement result in reduced risk (standard deviation) to the participants in Insurance distribution costs should not include advertising and marketing expenses. All the answers are incorrect. Risk-pooling arrangements reduce the expected loss faced by each member of the risk Personal injury liability lawsuits filed in Massachusetts is positively correlated

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