2. why is it important for insurance companies to have a large risk pool of people paying premiums? a. if a…

2. why is it important for insurance companies to have a large risk pool of people paying premiums? a. if a large pool of people pay premiums, insurance company employees will get more bonuses included in their next paycheck b. the premium payments of all the insured clients will cover the costs for the emergencies of the few who need it c. the more people that pay premiums, the more careful each insured client becomes with their lifestyle choices d. a large pool of people paying premiums allows insurance companies to have a larger social media following

2. why is it important for insurance companies to have a large risk pool of people paying premiums? a. if a large pool of people pay premiums, insurance company employees will get more bonuses included in their next paycheck b. the premium payments of all the insured clients will cover the costs for the emergencies of the few who need it c. the more people that pay premiums, the more careful each insured client becomes with their lifestyle choices d. a large pool of people paying premiums allows insurance companies to have a larger social media following

Answer

Brief Explanations:

Insurance companies pool premiums to pay for the claims of the few who experience losses. The large - scale collection of premiums from many policy - holders enables the company to cover the costs of those who make claims. This is the fundamental principle of risk pooling in insurance.

Answer:

b. The premium payments of all the insured clients will cover the costs for the emergencies of the few who need it