Property-casualty underwriting risk only exists when the premiums generated on a given insurance line are less than the claims (losses) on the line.

Every week, Gail puts together a summary of all the information about all the flights coming up in the next month and emails it to the client. This most likely allows her to:

A) cover her tracks so she can provide a record of customer service B) save on the transmission time it would take to fax the information C) leave the details to the client to arrange D) keep the client informed in real time as arrangements are made E) keep the client informed without overwhelming them with multiple emails

It is most appropriate for a firm to contract out manufacturing when:

A. individual manufacturers have few firm-specific skills that contribute to the value of their product. B. the value of the host country currency is expected to appreciate. C. supplier switching costs are correspondingly high. D. firm-specific technology and expertise add significant value to the product. E. the currency used for pricing a product is anticipated to stay weak in the long run.