Exam DISC-RM Practice Question 36

Study guide: Exam DISC-RM

Compared with retaining a risk, which is a disadvantage of transferring it by insurance?

• A) The firm cannot keep operating after an insured loss occurs
• B) Premiums must be paid in advance instead of staying in the business
• C) Insurers provide no loss control or claims adjusting services
• D) Premiums cannot be deducted as a business expense for taxes

Answer this question and see the worked solution

Concepts tested

• Insurance as a Risk Management Technique
• Risk Transfer
• Risk Treatment

More questions from this set

• Exam DISC-RM Practice Question 35
• Exam DISC-RM Practice Question 37