SOFE AFE Exam - Topic 3 Question 108 Discussion

Actual exam question for SOFE's AFE exam

Question #: 108
Topic #: 3

[All AFE Questions]

The combined ratio is the sum of it:

Aloss ratio

Bexpense ratio

Cdividend ratio

DAll of the above

Show Suggested Answer

Suggested Answer: D

by Sherron at Jan 05, 2026, 05:16 AM

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Tu

3 days ago

Option B is the correct answer. The combined ratio is the sum of the loss ratio and expense ratio, not the dividend ratio.

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Christiane

9 days ago

All of the above? Really? The combined ratio is just the loss ratio and expense ratio. Option B is the answer.

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Leontine

14 days ago

I'm pretty sure the combined ratio is the sum of the loss ratio and expense ratio. Option B is the right choice.

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Lyda

19 days ago

The combined ratio is definitely the sum of the loss ratio and expense ratio. Option B is the correct answer.

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Lindy

24 days ago

I feel like I've seen this before, and it seems like the combined ratio should include all those components, so I'm leaning towards D.

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Olive

29 days ago

I definitely recall that the combined ratio includes the loss ratio and expense ratio, but I can't remember if dividends are part of it.

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Barabara

1 month ago

I remember practicing a question similar to this, and I think the answer is D) All of the above, but I could be wrong.

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Evette

1 month ago

I think the combined ratio is related to the loss and expense ratios, but I'm not sure about the dividend ratio.

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Rima

1 month ago

I'm a little confused on this one. I know the combined ratio has to do with insurance, but I can't quite remember the exact definition. I'll guess B and hope for the best.

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Stevie

2 months ago

Okay, I remember learning about the combined ratio in my finance class. It's the sum of the loss ratio and expense ratio, so the answer is definitely B. I feel pretty confident about this one.

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My

2 months ago

Ugh, I'm not too familiar with insurance terms. Let me think this through - the combined ratio has to do with expenses and losses, so it's probably not C or D. I'll go with B to be safe.

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Lashon

2 months ago

Hmm, I think this is asking about insurance industry metrics. The combined ratio is the sum of the loss ratio and expense ratio, so I'm pretty sure the answer is B.

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