A property–casualty insurer brings in $6.55 million in premiums on its homeowners MP line of insurance. The line’s losses amount to $4.898 million, expenses are $1.74 million, and dividends are $110,000. The insurer earns $208,000 in the investment of its premiums. Calculate the line’s loss ratio. (Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16))
A property–casualty insurer brings in $6.55 million in premiums on its homeowners MP line of insurance. The line’s losses amount to $4.898 million, expenses are $1.74 million, and dividends are $110,000. The insurer earns $208,000 in the investment of its premiums. Calculate the line’s loss ratio. (Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16))
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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A property–casualty insurer brings in $6.55 million in premiums on its homeowners MP line of insurance. The line’s losses amount to $4.898 million, expenses are $1.74 million, and dividends are $110,000. The insurer earns $208,000 in the investment of its premiums. Calculate the line’s loss ratio. (Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.16))
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