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CTP · Question #199

(Topic 2) A company's credit agreements or loan covenants may require:

The correct answer is A. minimum ratings for insurance carriers. See the full explanation below for the reasoning.

Question

  • (Topic 2)

A company’s credit agreements or loan covenants may require:

Options

  • Aminimum ratings for insurance carriers.
  • Bhigh deductible levels and risk retention in order to minimize premium payments.
  • Coutsourcing of the claims approval and payment process to an insurance company.
  • Drisk management staff to work directly with underwriters to reduce commission

How the community answered

(55 responses)
  • A
    76% (42)
  • B
    7% (4)
  • C
    4% (2)
  • D
    13% (7)

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