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How does the ‘common pool’ operate in insurance?

User Nagra
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5 votes

Answer:

 A group of insurers or reinsurers through which particular types of risks (often of a substandard nature) are underwritten, with premiums, losses, and expenses shared in agreed ratios

Step-by-step explanation:

User Abhaya
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5 votes

Answer:

How does insurance pooling work?

Insurance pooling is a practice wherein a group of small firms join together to secure better insurance rates and coverage plans by virtue of their increased buying power as a block. This practice is primarily used for securing health and disability insurance coverage.

Step-by-step explanation:

User Ambika
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