Texas All Lines Adjuster questions n answers rated A+

Texas All Lines AdjusterReinsurance Allows an insurance company to sell part of the risk they have assumed from a policyholder and thereby write more insurance and protect the company from any large losses it would not be able to handle on its own. Stock Companies Insurance companies owned by stockholders. Charge non-assessable fixed premiums. If company creates a profit, they may pay stockholders through dividends Mutual Companies Insurance company owned by the policyholders. Can pay dividends to policyholders when it makes a profit. Can assess policyholders to obtain additional funds to keep company solvent. What types of insurances companies are non-admitted and have no rate regulations? County Mutual Companies Farm Mutual Companies Reciprocal Exchanges Risk Retention Groups Purchasing Groups Lloyds Plan Speculative Risk When a chance is taken that may result in a financial gain such as gambling or the stock market. Self- Insurers Some companies choose to self-insure rather than pay premium to an insurance company. They take risk on themselves. Private vs. Government Insurers Most insurance is through private insurersSome insurance can only be purchased through the federal government because private insurers do not want to take on higher risks. Flood insurance is an example of government insurers. Authorized Insurer Admitted companyMeets minimum requirements of financial strength and licensing.Has a certificate of authority.