QUESTION: 241

Given the above information, if the risk manager adds a tank at its second facility, what loss control technique is being used?

Exposure avoidance
Limiting contractual acceptance of risk
Catastrophic loss control
Separation of exposures

Answer(s): D

Reveal Solution Next Question

A company has six fraudulent checks clear its primary disbursement account for a total of $7,652. The bank agrees to split the loss with the company to maintain a good relationship. As a condition of sharing the expense, the bank requires the company to establish positive pay on its disbursement accounts or have the company absorb the losses on future fraudulent payments.

What type of risk financing technique is the bank using?

Crime insurance
Self-insurance
Risk retention
Risk transfer

Answer(s): D

Reveal Solution Next Question

QUESTION: 243

A company has six fraudulent checks clear its primary disbursement account for a total of $7,652. The bank agrees to split the loss with the company to maintain a good relationship. As a condition of sharing the expense, the bank requires the company to establish positive pay on its disbursement accounts or have the company absorb the losses on future fraudulent payments.

If the company determines that positive pay is too expensive and decides NOT to implement it, what type of risk financing technique is the company using?

Crime insurance
Self-insurance
Risk avoidance
Risk transfer

Answer(s): B

Reveal Solution Next Question

QUESTION: 244

A-Plus Company has made arrangements for a new insurance broker to provide products to its employees. Historically, A-Plus Company’s employees made insurance payments via payroll deduction, but the new broker will be collecting payments from employees directly. What will the broker MOST LIKELY use to minimize collection float?

Answer(s): C

Reveal Solution Next Question

Free CTP Exam Braindumps (page: 61)

QUESTION: 241

QUESTION: 242

QUESTION: 243

QUESTION: 244