For the UPR of this credit insurance, the solution says it is all earned on the day the insured invoice is due. Isnt this implausible, since the trigger for a claim is likely to be the failure of payment - AFTER some attempt to chase up late payment? I guess it depends on how you define the risk date - as the date of incident, or the date of claim payout. Is it always defined as the former? Thanks
There is some ambiguity Gijap, as you say. In general though, if payment is not made when it is due, I can see why the examiners state this is the "earned" date. It's certainly the date when the insurer would start to be concerned. In the exam, if you state your reasoning, and show an understanding of the topic, then I imagine you'd still get marks.
