Podcast
Play an AI-generated podcast conversation about this lesson
Questions and Answers
Which term refers to the estimated value of goods that will be transported during the period of insurance?
Which term refers to the estimated value of goods that will be transported during the period of insurance?
- Exposure
- Turnover
- Annual carry (correct)
- Load limit
What does the load limit indicate?
What does the load limit indicate?
- The number of trips a farmer does in a year
- The maximum value that a vehicle will carry in a single trip
- The total exposure of goods being transported
- The size of a potential single loss (correct)
Why is a farmer who does only 6 trips a year less of a risk compared to a farmer who does 104 trips a year?
Why is a farmer who does only 6 trips a year less of a risk compared to a farmer who does 104 trips a year?
- Because the former is less exposed to road risk (correct)
- Because the former has a higher load limit
- Because the former has a lower load limit
- Because the former has a higher annual carry
What are the rates based on in this context?
What are the rates based on in this context?
Signup and view all the answers
Why is there a magnitude discount factor applied to the rates?
Why is there a magnitude discount factor applied to the rates?
Signup and view all the answers
Which term refers to the total exposure of goods being transported during the period of insurance?
Which term refers to the total exposure of goods being transported during the period of insurance?
Signup and view all the answers
What does the load limit indicate?
What does the load limit indicate?
Signup and view all the answers
Why is a farmer who does only 6 trips a year less of a risk compared to a farmer who does 104 trips a year?
Why is a farmer who does only 6 trips a year less of a risk compared to a farmer who does 104 trips a year?
Signup and view all the answers
What are the rates based on in this context?
What are the rates based on in this context?
Signup and view all the answers
Why is there a magnitude discount factor applied to the rates?
Why is there a magnitude discount factor applied to the rates?
Signup and view all the answers
