Multiple Choice
Why is a large number of exposure units generally required for a risk to be insurable?
A) It allows the insurer to accurately predict the aggregate dollar amount of loss.
B) It allows for at least some losses to occur.
C) It reduces speculative risk.
D) It reduces both the speculative risk and pure risk.
Correct Answer:
Verified
Correct Answer:
Verified
Q2: Loss prevention and control:<br>A) eliminate risk<br>B) are
Q3: One reason catastrophes are difficult to insure
Q4: Discuss risk reduction through diversification.
Q5: Arthur is driving home from work when
Q6: If the chance of loss is high
Q7: Speculative risks refer to those events which
Q8: Which of the following is not an
Q9: When faced with a risk of loss
Q10: Examine the following list of "risks." Determine
Q11: Which of the following best describes a