Inspections often identify loss exposures that a review of the written descriptions of
the organization's operations would not reveal. Which one of the following groups of
individuals within the organization are best able to identify non obvious loss
exposures to a person conducting an inspection?
Select one:
A. Regional management
B. Compliance review personnel
C. Front-line personnel
D. Risk professionals
Give this one a try later!
, C. Front-line personnel
A licensed electrician completes the job of rewiring a house and returns to his shop.
With regard to this job, the electrician has a
Select one:
A. Professional liability loss exposure.
B. Premises liability loss exposure.
C. Business operations loss exposure.
D. Completed operations loss exposure.
Give this one a try later!
D. Completed operations loss exposure.
In a court of law, during policy analysis, which one of the following types of policies
or forms is most difficult to interpret?
Select one:
A. A package policy
B. A monoline policy
C. A manuscript policy
D. A standard form
,Give this one a try later!
C. A manuscript policy
Which one of the following is an element of a loss exposure?
Select one:
A. A cause of loss
B. The verification of risk
C. The probability of a loss
D. The occurrence of a loss
Give this one a try later!
A. A cause of loss
Renata owns a valuable antique sculpture by a famous artist. One day she accidentally
dropped the sculpture and a piece of it broke off. Renata took the sculpture to an art
restorer, who reattached the broken piece and repaired the surface. From a distance,
the statue looks the same as it did before Renata dropped it, but a close inspection
reveals the repair. Which one of the following best describes the financial
consequences of the accident?
Select one:
A. There are no financial consequences because the piece looks the same as it did
before the accident.
B. The financial consequences include the cost of the repair and the reduction in
, value resulting from the repaired damage.
C. The only financial consequence of the accident is the money Renata paid the art
restorer for the repair.
D. Renata has incurred a total loss because original artwork is impossible to replace.
Give this one a try later!
B. The financial consequences include the cost of the repair and the
reduction in value resulting from the repaired damage.
To achieve the financial goal of maximizing market value, most publicly traded
organizations should pursue risk financing goals. Common risk financing goals include
which one of the following?
Select one:
A. Reduce the severity of losses
B. Reduce the frequency of losses
C. Manage uncertainty of loss outcomes
D. Disperse organizational assets
Give this one a try later!
C. Manage uncertainty of loss outcomes
Which one of the following documents would best help to identify bottlenecks in an
organization's operations that might present critical loss exposures?
the organization's operations would not reveal. Which one of the following groups of
individuals within the organization are best able to identify non obvious loss
exposures to a person conducting an inspection?
Select one:
A. Regional management
B. Compliance review personnel
C. Front-line personnel
D. Risk professionals
Give this one a try later!
, C. Front-line personnel
A licensed electrician completes the job of rewiring a house and returns to his shop.
With regard to this job, the electrician has a
Select one:
A. Professional liability loss exposure.
B. Premises liability loss exposure.
C. Business operations loss exposure.
D. Completed operations loss exposure.
Give this one a try later!
D. Completed operations loss exposure.
In a court of law, during policy analysis, which one of the following types of policies
or forms is most difficult to interpret?
Select one:
A. A package policy
B. A monoline policy
C. A manuscript policy
D. A standard form
,Give this one a try later!
C. A manuscript policy
Which one of the following is an element of a loss exposure?
Select one:
A. A cause of loss
B. The verification of risk
C. The probability of a loss
D. The occurrence of a loss
Give this one a try later!
A. A cause of loss
Renata owns a valuable antique sculpture by a famous artist. One day she accidentally
dropped the sculpture and a piece of it broke off. Renata took the sculpture to an art
restorer, who reattached the broken piece and repaired the surface. From a distance,
the statue looks the same as it did before Renata dropped it, but a close inspection
reveals the repair. Which one of the following best describes the financial
consequences of the accident?
Select one:
A. There are no financial consequences because the piece looks the same as it did
before the accident.
B. The financial consequences include the cost of the repair and the reduction in
, value resulting from the repaired damage.
C. The only financial consequence of the accident is the money Renata paid the art
restorer for the repair.
D. Renata has incurred a total loss because original artwork is impossible to replace.
Give this one a try later!
B. The financial consequences include the cost of the repair and the
reduction in value resulting from the repaired damage.
To achieve the financial goal of maximizing market value, most publicly traded
organizations should pursue risk financing goals. Common risk financing goals include
which one of the following?
Select one:
A. Reduce the severity of losses
B. Reduce the frequency of losses
C. Manage uncertainty of loss outcomes
D. Disperse organizational assets
Give this one a try later!
C. Manage uncertainty of loss outcomes
Which one of the following documents would best help to identify bottlenecks in an
organization's operations that might present critical loss exposures?
