Question

Under the relation of earnings to insurance provision, the insured's benefit must equal?

Answer 1

The insured's benefit must equal the average person's claims, the costs of running the company, and leave room for the firm's profits.

Step-by-step explanation:

The insured's benefit must equal the average person's claims, the costs of running the company, and leave room for the firm's profits. This is a fundamental law of insurance. The average person's payments into insurance over time must cover these three factors. For example, if an insured person has a car accident and makes a claim, their benefit should be equal to the cost of repairing the car and any other associated expenses.