Actuarial Notes

Exam DISC-RM Practice Question 53

Study guide: Exam DISC-RM

A business impact analysis sets a recovery time objective of 24 hours for an insurer's policy administration system. With illustrative figures, four alternate-site options are available: a cold site that recovers in about 10 days for $20,000 a year; a warm site that recovers in about 48 hours for $70,000 a year; a hot site that recovers in about 4 hours for $200,000 a year; and a mirrored site that recovers almost at once for $500,000 a year. Which option should the plan adopt?

  • A) The cold site
  • B) The hot site
  • C) The warm site
  • D) The mirrored site

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