Chapter 4- Insurance Cycle Flashcards
1
Q
High order service
A
E.g. harrods
People will travel for it
2
Q
Low order service
A
Low sphere of influence
Corner shops
Competitive
3
Q
Subscription market
A
Number of insurers can take share of same risk depending on capacity
No price control
4
Q
Cycle
A
Losses -> market leavers
Low competition- hard market
Insurers see opportunity to enter market
Competition increase - soft market, low premium
