Preferred risks in insurance generally have lower premiums and can borrow higher amounts against their policies.
Preferred risks in insurance are classified as individuals who are considered to have a lower risk of making a claim. This classification often leads to lower premiums for the insured, making their policies more affordable compared to higher-risk individuals. Insureds classified as preferred risks may benefit from borrowing higher amounts off their policies due to their lower risk profile.
https://brainly.com/question/15778273