Exam 4: Advanced Topics in Risk Management

Which of the following statements is (are)true with regard to the use of technology in risk management programs? I.Risk management Intranets are networks intended for an internal audience. II.Risk management information systems can be used to store and track workers compensation claims data.

Insurance Brokerage Company uses a computer-based method of estimating the losses its clients will suffer if a severe storm or earthquake occurs.This method of estimating losses is called

Calculating the present value of a future amount is called

Which of the following statements about the scope of risk management is (are)true? I.Traditionally,risk management was limited in scope to speculative loss exposures. II.In the 1990s,some businesses began to expand the scope of risk management to include financial risks.

Which of the following statements concerning the securitization of risk is (are)true? I.Securitization increases the capacity of the insurance industry. II.Securitization can be used to protect against catastrophic loss.