Pure risk states - Study guides, Class notes & Summaries

Insurable Risk - ️️- a risk the insurance company is willing to accept - characteristics of an insurable risk 1. Low probability of a loss occurring 2. Less than catastrophic results 3. The loss must be measurable 4. The loss must be significant 5. The loss must be accidental and unintended Mutual Insurance Companies - ️️- owned by policyholders; each policyholder "owns" a part of the company proportionate to their share - elects a board of directors who appoint officers ...

TEST BANK KAPLAN AND SADOCK'S SYNOPSIS OF PSYCHIATRY 11TH EDITION PREFACE ........................................................................................................................................... 2 Chapter 1: Neural Sciences .............................................................................................................. 3 Chapter 2: Contributions of the Psychosocial Sciences ................................................................ 6 Chapter 3: Contributi...

RMIN 4000 Exam 1 Brown Latest Update Graded A+ Textbook definition of RISK Uncertainty concerning the occurrence of a loss Better definition of RISK A calculated possibility of a negative outcome Calculated Possibility 0 = Impossible event (NO RISK) 0.5 = Highest Risk (Most Uncertainty) 1 = 100% Certain Event (NO RISK Negative Outcome Loss Losses must be __________? Quantifiable Pure Risk States Loss or No Loss Examples of Pure Risks Fire, Cancer, Dog bites a ...

Law of Large Numbers - Answer-The larger the number of people with a similar exposure to loss, the more predictable actual losses will be. Insurance - Answer-Transfers the risk of loss from an individual or business entity to an insurance company The three elements of insurable risk are - Answer-1) Financial 2) Blood (relative) 3) Business Risk - Answer-The uncertainty or chance of a loss occurring Types of risks are - Answer-1) Pure risk 2) Speculative risk What type of risk does insuran...

Book Definition of Moral Hazard - ️️Dishonesty or character defects in an individual that increase the frequency and/or severity of a loss Better Definition of Moral Hazard - ️️The presence of insurance changes the behavior of the insured Morale (Attitudinal) Hazard - ️️Carelessness or indifference to a loss, which increases increases the frequency and/or severity of a loss Textbook definition of RISK - ️️Uncertainty concerning the occurrence of a loss Better definition of...

Property and Casualty Exam - Texas Questions And Answers ____ is uncertainty of loss - ANS risk ____ is a transfer of risk from the insured to the insurer - ANS insurance ____ risk means there is no chance of gain. It is insurable. - ANS pure ____ risk means there is a chance of a loss or a gain. It is not insurable. - ANS speculative a ____ is something that increases the risk. - ANS hazard the principle of _____ governs property and casualty policies. It state...

TEST BANK Pharmacology Clear and Simple: A Guide to Drug Classifications and Dosage Calculations Cynthia J. Watkins 4th Edition Chapter 1. History of Pharmacology MULTIPLE CHOICE 1. The Greek word pharmakon means which of the following? a. Medicine b. Poison c. Remedy d. Medicine, poison, and remedy ANS: D Rationale: The word pharmakon refers to the curing of illness, thus meaning medicine and remedy, as well as poison because early medicines we...

Risk quadrants are different from risk classifications. Risk quadrants focus on what? -Correct Answer The source of the risk itself and what part of the organization has managed it in the past. An enterprise risk management approach is categorizing risks into quadrants. What are hazard risks? -Correct Answer Normally managed by risk management professionals. What are the four risks in the enterprise risk management model? -Correct Answer Hazard, operational, financial, and hazard. What ...

The law of large numbers A) states that there must be an adequate spread of risk for insurance to be effective. B) states that large risks should be transferred to an insurance company. C) prohibits insurance with extremely high premiums. D) states that the more examples used to develop a statistic, the more reliable the statistic will be. - ️️D) states that the more examples used to develop a statistic, the more reliable the statistic will be. The law of large numbers says that the...

Introduction to Risk Management Exam 1 (2024) || Complete Solutions (Rated A+) Introduction to Risk Management Exam 1 (2024) || Complete Solutions (Rated A+) pure risk - ANSWER - uncertainty regarding a loss or event which might induce a loss in pure risk, losses can be valued in _______ terms - ANSWER - financial a loss with 100% probability is a ________ ____________ - ANSWER - known loss is there risk present in a known loss? - ANSWER - no 3 ways to handle a known loss - ANSWE...