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15) ___________Assets are easily convertible to cash at or near propertys market value.

16) ___________Assets are not easily convertible to cash at or near propertys market value.

17) What is Policy Holders Surplus?

18) _______________is a financial obligation owned by the insurer to estimate final settlementamount on all claims that have occurred but have not yet been settled.

Case 01:

Earned Premiums 4000

Written Premiums 8000Incurred Underwriting Expenses 1000

Incurred Losses 1500

Loss Exp 500

Investment Income 1500

Investment Expense 500

Policy Holders Surplus 6000

Case 02:

A Policy taken on 1 st July 2007 and expires on 1 st July 2008, whose Written Premium is

24000. What is the Written Premium, Earned Premium, Unearned Premium for 2007 and

2008?

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Case 03:

An Inusrance company has the following assets and Liabilites. Calculate the Policy Holders

Surplus.

Assets:

Cash and Short Term Investments 500

Bonds 1000

Preferred Stock 1000

Common Stock 2000

Mortgages 500

Real Estate 2000

Premium balance due More than 90 Days 1000

Liabilities:

Loss and Loss Expense Reserve 2000

UnEarned Premium Reserve 2000

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