Multiple choice technology testing

Insurer solvency is assed based on -------

  1. good will

  2. financial statements

  3. Owner's equity

  4. Liabilities of the company

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Insurer solvency is assessed through comprehensive financial statements showing assets, liabilities, capital reserves, income, and cash flows. Isolated metrics like goodwill, equity, or liabilities alone cannot determine solvency - the complete financial picture is needed.