When a primary insurer "cedes" coverage to a reinsurer, the process is called:

Which of the following statements characterizes a cancelable policy?

A) The insurer may not cancel the policy because of the insured's age. B) The insurer may cancel the policy only at the end of the term. C) The insurer may not cancel the policy because of the insured's retirement. D) The insurer may cancel the policy at any time.

If an underwriter suspects moral hazard, the underwriter may ask an outside firm to investigate the applicant and make a detailed report to the insurer. This report is called a(n)

A) inspection report. B) application. C) M.I.B. report. D) agent's report.