Difference between revisions of "W2"
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==In Plain English!== | ==In Plain English!== | ||
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| + | ===The Basics=== | ||
This reading is easy to cover. It's worth reading the source paper - it will only take 10 minutes. | This reading is easy to cover. It's worth reading the source paper - it will only take 10 minutes. | ||
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That's it! ''(There are actually 4 more items in the list of differences on page 2, but it's very unlikely you'd be asked for all of them.) | That's it! ''(There are actually 4 more items in the list of differences on page 2, but it's very unlikely you'd be asked for all of them.) | ||
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| + | ===A Concept Question=== | ||
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| + | Here's something think about: | ||
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| + | * TRIA was originally intended to be temporary, but terrorism is still considered uninsurable. The private market is stronger ''(prices are down & penetration is up)'' but there is concern that if TRIA does eventually expire, there will be a subsequent lack of AA (Availability & Affordability). '''Discuss the implications of ending TRIA after 2020.''' | ||
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| + | Actually, this would be more like a <u>PhD dissertation</u> than a question on an actuarial exam. Interesting to think about nonetheless. Even if this specific question doesn't appear on the exam, thinking about it will deepen your understanding of terrorism insurance in general. You'll then have a better chance of answering whatever question they do ask. | ||
[https://www.battleacts6us.ca/FC.php?selectString=**&filter=both&sortOrder=natural&colorFlag=allFlag&colorStatus=allStatus&priority=importance-high&subsetFlag=miniQuiz&prefix=Webel&suffix=TRIA-2§ion=all&subSection=all&examRep=all&examYear=all&examTerm=all&quizNum=all<span style="font-size: 20px; background-color: lightgreen; border: solid; border-width: 1px; border-radius: 10px; padding: 2px 10px 2px 10px; margin: 10px;">'''Full BattleQuiz]'''</span> <span style="color: red;">'''You must be <u>logged in</u> or this will not work.'''</span> | [https://www.battleacts6us.ca/FC.php?selectString=**&filter=both&sortOrder=natural&colorFlag=allFlag&colorStatus=allStatus&priority=importance-high&subsetFlag=miniQuiz&prefix=Webel&suffix=TRIA-2§ion=all&subSection=all&examRep=all&examYear=all&examTerm=all&quizNum=all<span style="font-size: 20px; background-color: lightgreen; border: solid; border-width: 1px; border-radius: 10px; padding: 2px 10px 2px 10px; margin: 10px;">'''Full BattleQuiz]'''</span> <span style="color: red;">'''You must be <u>logged in</u> or this will not work.'''</span> | ||
Revision as of 12:59, 2 February 2019
Contents
Pop Quiz
BattleTable
Based on past exams, the main things you need to know (in rough order of importance) are:
- there are currently no old exam problems from this reading
reference part (a) part (b) part (c) part (d) none
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In Plain English!
The Basics
This reading is easy to cover. It's worth reading the source paper - it will only take 10 minutes.
The first page of the reading provides a very nice summary of TRIA, along with its 2005 & 2007 extensions, and the critical extension & update of Jan 12, 2015.
The 2015 legislation of the 114th Congress extended TRIA almost 6 years, to the end of 2020
Side note: The 2007 extension provided coverage for all terrorism (including domestic) whereas the 2002 version covered only foreign terrorism.
The only things you have to know are the differences between the 2015 version of TRIA versus the 2002 version.
- decrease federal loss-sharing gradually from 85% to 80% (also called co-insurance)
- increase program trigger by $20 million/year from $100 million to $200 million
- increase the mandatory recoupment from $27.5 billion to $37.5 billion
That's it! (There are actually 4 more items in the list of differences on page 2, but it's very unlikely you'd be asked for all of them.)
A Concept Question
Here's something think about:
- TRIA was originally intended to be temporary, but terrorism is still considered uninsurable. The private market is stronger (prices are down & penetration is up) but there is concern that if TRIA does eventually expire, there will be a subsequent lack of AA (Availability & Affordability). Discuss the implications of ending TRIA after 2020.
Actually, this would be more like a PhD dissertation than a question on an actuarial exam. Interesting to think about nonetheless. Even if this specific question doesn't appear on the exam, thinking about it will deepen your understanding of terrorism insurance in general. You'll then have a better chance of answering whatever question they do ask.
Full BattleQuiz You must be logged in or this will not work.
BattleCodes
Memorize:
Conceptual:
Calculational:
