16.
With increase in premium with age, healthy people tended to withdraw leaving unhealthy people. This lead to development of

17.
Which of the following is correct?
A. Life insurance is a long term contract
B. General insurance is a short term contract

18.
Life insurance policy, in general, is a mixture of

19.
Which of the following is incorrect?
A. Mutuality means funds from various individuals are combined
B. Diversification means spreading out funds to various destinations.

20.
The person who makes the offer is called the _________ and the person who accepts the offer in an insurance contract is called the _________