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215 Insurance License Exam | Questions and Correct Solutions | Latest Update 2025/2025 | Graded A+

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215 Insurance License Exam | Questions and Correct Solutions | Latest Update 2025/2025 | Graded A+ risk pooling - Answer -spreading risk over a large group of people law of large numbers - Answer -larger the group, the more certain the predictions speculative risk - Answer -not insurable - involves both chance of loss or gain pure risk - Answer -insurable - involves chance of loss, never gain or profit peril - Answer -event causing loss Ex: fire, death, accident, windstorm, disease hazard - Answer -any factor that gives rise to peril or increase likelihood of a loss from a peril physical hazard - Answer -slippery floor, blindness, deafness, past medical history moral hazard - Answer -intentional act, tendencies to take risks;Ex: alcoholism, drugs, dishonesty morale hazard - Answer -carelessness, indifference Ex: driving recklessly with no fear of injury risk avoidance - Answer -avoiding the risk, don't do anything Ex: choosing not to drive, fly or invest (not p

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  • risk pooling answer spreading risk over a large

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