QUESTION
Which of the following is an example of transaction offered by a stock insurance company?
A) Anita got a dividend check in the mail from her auto insurance company.
B) Albert was assessed a fee by his homeowner’s policy because the insurance company suffered losses this year.
C) Hal’s insurance company did so well that the premiums for the policy he carries on his ski chalet are lower this year than last year.
D) The value of Sophie’s shares in her insurance company went up last year.
E) The cost of Roy’s business insurance went up last year, but Roy also received a dividend check.
ANSWER
Answer: D
Explanation: D) Stock insurance companies are private insurers providing insurance to policyholders and earning profits for sharehholders.
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