Problem 4

exam6addoilexam6addoil
in PACICC.Comp


UEP recoverable = 0.7min(2,500,9/123,100)=1,628
loss recoverable = min(479,208-1,000,425,000)=425,000
total recovery for insured is 1,628+425,000 = 426,628
the insured had already received 479,229 which is greater than 426,628
does it mean that the insured is over-compensated?
in this case, it would be no additional recovery for insured no matter if the liquidator could recover more than they advanced?

Comments

  • Staff_J1Staff_J1
    edited August 28

    There actually is an error in the Excel Questions 4-6 (mismatch with the solutions), please refer to this Forum Question below! Thanks!
    https://battleactsmain.ca/vanillaforum/discussion/1791/pacicc-excel-problems-4#latest

  • exam6addoilexam6addoil

    i am still very confused about the forum you are referring to, could you please answer one of the questions here?

  • Staff_J1Staff_J1
    edited September 2

    Sorry for the confusion, but could you clarify on the "one of the questions here", do you mean from the forum link I sent above? Thanks!

  • exam6addoilexam6addoil

    i meant the questions on the practice problem excel

  • Staff_J1Staff_J1

    As mentioned, the question 4 is not correct right now, so that might be the source of your confusion, once corrected, it might make more sense. But to highlight in this case, how are you calculating the UEP? We do not have a policy effective date?

    Also, if it things lets say just happened to plan out as you mentioned above, yes no additional recovery, they have been "over compensated" - Thanks!

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