RMI 2302 chapter 1 Exam 2026
Questions and Answers
Imagine a world where health insurance doesn't exist . On the upside , you don't
have to pay any health insurance premiums ! On the downside , if you become sick
you're responsible for the full amount of your healthcare . What if you had children
? The risk of unknown payments for healthcare would require all of us to save a
much larger amount of money to set aside just in case we needed it . This burden
would be in which of the following categories ?
A. need for larger emergency funds
B. fear and worry
C. lossof needed goods and services
D. less personal savings to spend on desired items - Correct answer-need for larger
emergency funds
Which of the following is NOT a step in the Risk Management Process ?
A. All of the Above are steps in the Risk Management Process
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, B. Consideration of Alternatives
C. Implementation
D. Determination of Objectives
E. Identification of Risks Elimination of Risks - Correct answer-Elimination of
risks
Insurance is a mechanism for managing
A. Speculative Risk
B. None of the above
C. Market Risk
D. Pure Risk - Correct answer-Pure risk
Which of the following is not a category of risk retention ?
A. none of the above
B. planned versus unplanned
C. primary versus secondary
D. funded versus unfunded . - Correct answer-Primary versus secondary
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Questions and Answers
Imagine a world where health insurance doesn't exist . On the upside , you don't
have to pay any health insurance premiums ! On the downside , if you become sick
you're responsible for the full amount of your healthcare . What if you had children
? The risk of unknown payments for healthcare would require all of us to save a
much larger amount of money to set aside just in case we needed it . This burden
would be in which of the following categories ?
A. need for larger emergency funds
B. fear and worry
C. lossof needed goods and services
D. less personal savings to spend on desired items - Correct answer-need for larger
emergency funds
Which of the following is NOT a step in the Risk Management Process ?
A. All of the Above are steps in the Risk Management Process
©COPYRIGHT 2025, ALL RIGHTS RESERVE 1
, B. Consideration of Alternatives
C. Implementation
D. Determination of Objectives
E. Identification of Risks Elimination of Risks - Correct answer-Elimination of
risks
Insurance is a mechanism for managing
A. Speculative Risk
B. None of the above
C. Market Risk
D. Pure Risk - Correct answer-Pure risk
Which of the following is not a category of risk retention ?
A. none of the above
B. planned versus unplanned
C. primary versus secondary
D. funded versus unfunded . - Correct answer-Primary versus secondary
©COPYRIGHT 2025, ALL RIGHTS RESERVE 2
