Which of the Following Actions Best Illustrates Moral Hazard

Multiple Choice

Which of the following actions best illustrates moral hazard?

A) Hannah knows she is a reckless driver and so she applies for automobile insurance.
B) A person is unwilling to buy a stock when she believes its price has an equal change of rising or falling $10.
C) Morgan dislikes losing $400 more than he likes winning $400.
D) When you rent a car, you treat it with less care than you would if it were your own.