Allain Inc. manufactures two products, sweat suits and jeans. The company has estimated its overhead in the order-processing department to be…August 19, 2020
accessing non renewable resources 4August 19, 2020
The experience rating of benefit plans achieves the ultimate degree of premium equity among policy holders.
In your essay, please comment on the following:
- Define experience rating
- Why might this be a more fair way to rate benefit premiums?
- Why is it not used every time benefit premiums are rated?
- Are there any drawbacks to using experience rating and why?
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