FINA 4358 MODULE 1 QUIZ | VERIFIED ANSWERS

FINA 4358 MODULE 1 QUIZ Commercial Property Insurance Homework Questions Module 1 1. One of the steps in the “risk management process” is ‘analyzing exposures. What does this step entail? 2. One of the “Risk Management Techniques is “retention”. What does this step refer to? 3. Explain the major difficulty in using the Balance Sheet as a source for insurable property values. Balance sheet value reflects depreciation - nothing to do with the amount of insurance you need to buy. Market value is what item can be sold for. 4. Explain the difference between “loss prevention” and “loss control”. 5. Give an example of a “non-insurance transfer“ of risk. 6. List at least three loss prevention/control measures for each of the following perils: