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Examinator
01-22-2006, 09:03 AM
Toward the end of the Wagner paper in the Study Kit, he briefly discusses the new ISO in 1997. He says that 85% is controlled by insurer members who elect 3 of 11 board members. ISO management controls the remaining 15% and elects the remaining 7 memebers. Now I realize mathematics is not the core of this lovely exam, but the last time I checked 3 and 7 didn't get you to 11. Is there something special about the remaining board memeber, or is Wagner (and the subsequent parrotting of the All 10) not good with numbers?

Deja vu
01-22-2006, 01:27 PM
Toward the end of the Wagner paper in the Study Kit, he briefly discusses the new ISO in 1997. He says that 85% is controlled by insurer members who elect 3 of 11 board members. ISO management controls the remaining 15% and elects the remaining 7 memebers. Now I realize mathematics is not the core of this lovely exam, but the last time I checked 3 and 7 didn't get you to 11. Is there something special about the remaining board memeber, or is Wagner (and the subsequent parrotting of the All 10) not good with numbers?

Not there yet, but how do you get 85% from any fraction of 11? 9 1/2 out of 11 is 85% (OK 86%)?!

Examinator
01-23-2006, 09:19 AM
These are the figures presented by the article. You got me.

GefilteFish144
01-23-2006, 09:47 AM
The 85% probably refers to overall controlling interest of the corporation -- not just the election of board members. I'm guessing that the "11th" board member is the CEO, which would be chosen by the other 10 board members. Whatever -- I'm sure that the Learning Objectives don't worry about this.

miaomiao
01-23-2006, 11:24 AM
The 11th might be the insurance commissioner?

miaomiao
01-23-2006, 11:24 AM
The 11th might be the insurance commissioner?

Mr. Penguin
01-23-2006, 12:10 PM
The 85% probably refers to overall controlling interest of the corporation -- not just the election of board members. I'm guessing that the "11th" board member is the CEO, which would be chosen by the other 10 board members. Whatever -- I'm sure that the Learning Objectives don't worry about this.

Exactly right. 85% of the stock is controlled by insurers, who elect 3 board members. ISO management controls 15% of the stock and they select 7 board members. The 11th member is the CEO/Chairman of the Board who is elected by the other ten.

Examinator
01-23-2006, 12:18 PM
Exactly right. 85% of the stock is controlled by insurers, who elect 3 board members. ISO management controls 15% of the stock and they select 7 board members. The 11th member is the CEO/Chairman of the Board who is elected by the other ten.Super duper. Thanks!