Question

Ideally insurable loss exposures are subject to losses that

Select one:

A. Are definite in time, cause, and location.

B. Result from unidentifiable causes.

C. Occur gradually over long periods of time.

D. Are immeasurable in terms of frequency or severity.

Answer 1

A. Are definite in time, cause, and location. Ideally insurable loss exposures are subject to losses that are definite in time, cause, and location.

Step-by-step explanation:

Ideally insurable loss exposures are subject to losses that are definite in time, cause, and location. This means that the losses have a specific occurrence, identifiable cause, and can be localized to a particular place. For example, a car accident that happens on a specific date, is caused by a collision, and occurs at a specific location would be a loss exposure that is ideally insurable.