What values constitute acceptable results

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Explain how the capacity ratio is used to analyze an insurer. Describe how rapid growth can threaten an insurer’s solvency. Explain how an insurer’s investment results can affect its capacity. Describe the methods that can be used to evaluate the investment performance of an insurer. Describe the purpose of the Best’s Capital Adequacy Ratio (BCAR). Describe the purpose of the NAIC’s Insurance Regulatory information System (IRIS). Explain how the NAIC’s Insurance Regulatory information System (IRIS) operates. Identify three of the IRIS tests and explain what each test is intended to measure and what values constitute acceptable results.

Reference no: EM132059159

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