The difference between the case-basis reserves and the estimated ultimate cost of such recorded claims is known as:
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A. B. C. D.C
The term "case-basis reserves" refers to the amount of money set aside by an insurance company to cover the cost of individual claims. In contrast, the "estimated ultimate cost of such recorded claims" refers to the total amount of money that the insurance company expects to pay out over the entire life of the claims.
The difference between these two amounts is known as the "case-development reserves." This represents the amount of money that the insurance company needs to set aside to cover the cost of claims that have not yet been fully developed or resolved.
For example, if an insurance company sets aside $10,000 to cover the cost of a claim, but expects that the total cost of the claim will be $12,000, then the case-development reserve would be $2,000.
The term "projected reserves" generally refers to the amount of money that an insurance company sets aside to cover the cost of future claims, based on its projections of future losses.
"Computing reserves" is not a term commonly used in the insurance industry, so it is unlikely to be the correct answer.
"Claim reserves" is a broader term that can refer to any of the types of reserves mentioned above, as well as other types of reserves that an insurance company may set aside to cover the cost of claims.
Therefore, the correct answer is C. case-development reserves.