[amp_mcq option1=”Before acceptance of risk to assess the risk for rating purpose” option2=”To find out the true value of asset” option3=”To find out how the asset came into the owner’s possession” option4=”To know whether any other property in the neighbourhood can be insured” correct=”option1″]<\/p>\n
The correct answer is: A. Before acceptance of risk to assess the risk for rating purpose.<\/p>\n
A survey and inspection of a property is essential before acceptance of risk to assess the risk for rating purpose. This is because the insurance company needs to know the condition of the property in order to determine how much risk they are taking on by insuring it. If the property is in poor condition, the insurance company may charge a higher premium or may even refuse to insure it.<\/p>\n
The other options are not correct. Option B is incorrect because the true value of the asset is not necessarily relevant to the insurance company’s decision to accept or reject the risk. Option C is incorrect because the insurance company does not need to know how the asset came into the owner’s possession in order to assess the risk. Option D is incorrect because the insurance company does not need to know whether any other property in the neighborhood can be insured in order to assess the risk of insuring the property in question.<\/p>\n","protected":false},"excerpt":{"rendered":"
[amp_mcq option1=”Before acceptance of risk to assess the risk for rating purpose” option2=”To find out the true value of asset” option3=”To find out how the asset came into the owner’s possession” option4=”To know whether any other property in the neighbourhood can be insured” correct=”option1″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[261],"tags":[],"class_list":["post-32036","post","type-post","status-publish","format-standard","hentry","category-insurance","no-featured-image-padding"],"yoast_head":"\n