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Zorluk: OrtaMethods of Handling Risk

A regional bakery chain relies on a fleet of delivery vans. To manage rising commercial auto insurance premiums, the owner decides to increase the fleet's physical damage deductible from 500to500 to 2,500, meaning the company will pay for minor accidents entirely out-of-pocket. Simultaneously, the owner mandates that all drivers complete a rigorous defensive driving certification to minimize the frequency of accidents. Which two methods of handling risk are demonstrated by the owner's actions, respectively?

  1. Risk retention and risk reductionCevap
  2. B
    Risk transfer and risk avoidance
  3. C
    Risk sharing and risk transfer
  4. D
    Risk avoidance and risk retention

Cevap

Risk retention and risk reduction
The correct answer accurately pairs the business owner's decisions with their respective risk management definitions. Choosing to absorb a higher financial loss through a larger deductible is a primary example of risk retention. Implementing a safety program to lower the chance of accidents is a standard method of risk reduction.

Adım Adım Çözüm

1
Analyze the first action: increasing the deductible to pay for minor accidents out-of-pocket.
Identified as risk retention.
When an insured chooses a deductible or self-insures a portion of the exposure, they are actively retaining the financial consequences of that specific amount of risk.
2
Analyze the second action: mandating defensive driving courses.
Identified as risk reduction.
Actions taken to lessen the probability or severity of a loss, without eliminating the activity completely, constitute risk reduction.

Anahtar Kavram

The STARR Methods of Handling Risk: Sharing, Transfer, Avoidance, Reduction, and Retention.
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Konular

Methods of Handling Risk

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