In view of the relationship of surplus to premiums that may be written, a severe decline in

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“In view of the relationship of surplus to premiums that may be written, a severe decline in the stock market is likely to serve as a brake on price-cutting practices.”

Explain the rationale behind this observation.

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Fundamentals Of Risk And Insurance

ISBN: 978-1118534007

11th Edition

Authors: Emmett J. Vaughan ,Therese M. Vaughan

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