All Insurance Is Based On Principle Called

All Insurance is based on a principle called A) investment premiums B) division of risk C) cash value coverage. D) premium earnings

Answers:

B) division of risk

All Insurance is based on a principle called division of risk

All insurance is based upon a principle called division of risk. This means simply that, if a loss to an individual or to several individuals is shared by a large number of individuals, the loss will not be an excessive burden on anyone.