When a mutual insurer becomes a stock company, the process is called
When a mutual insurer becomes a stock company, the process is called
A) Mutualization
B) Demutualization
C) Reinsurance
D) Reorganization
Answer: B) Demutualization
An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay?
An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay? a) $0 b) $30,000 c) $32,000 d) $40,000 Answer: B