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AFE SOFE Exam Lab Questions

Page: 7 / 10
Question 28

For purposes of establishing an appropriate financial statement reserve, the most important factors to consider are:

Options:

A.

the historical adequacy

B.

consistency in the reserving approach

C.

availability of statistical analysis of reserves

D.

All of the above

Question 29

Inflation in Defense & Cost Containment (DCC) is evaluated separately and is estimated to occur at the same rate as the rate of inflation in the losses.

Options:

A.

True

B.

False

Question 30

_______ include financial statements and notes, both on a consolidated and non consolidated basis.

Options:

A.

The annual Return

B.

Provincial Adequacy Return

C.

Constraints of self assessment

D.

Static Capital Adequacy Test

Question 31

When premium income less return premiums arising from policies issued or other contracts entered into reinsure other insurance entities that provide the related primary coverage are called:

Options:

A.

Indirect premiums

B.

Direct premiums

C.

Assumed reinsurance premiums

D.

Real reinsurance premiums

Page: 7 / 10
Exam Code: AFE
Exam Name: Accredited Financial Examiner
Last Update: Dec 22, 2024
Questions: 286
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