Question
If the total premium is Rs. 50,000 and the Limit of
Liability is Rs. 20,000,000; what is the rate on line?Solution
Calculation: Rate on line = (Total Premium / Limit of Liability) * 100 Rate on line = (Rs. 50,000 / Rs. 20,000,000) * 100 Rate on line = 0.0025 * 100 = 0.25%
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