Spring 2018 Q13 - Od Ch 12

I noted the large decrease in unearned premiums but wasn't sure if there's any way to make this an area of concern. It can be a good thing because they're shifting to short-tail lines, but is there any way to interpret it as concerning?

Comments

  • Shrinking UEP here is a result of shrinking Liability NWP. So, it can be related to the same issue as that stated for shrinking NWP.

    A line being short-tailed is related to the duration of its loss liabilities. It is not related to shrinking UEP.

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