Q. What is the fundamental requirement for insurance to take place?

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Q. What is a "peril" in the context of insurance?

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Q. What is the primary purpose of pooling in insurance?

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Q. What role does the insurer play in the insurance process?

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Q. How does insurance reduce the "burden of risk"?

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Q. What is the primary burden of risk in insurance?

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Q. What is an example of the primary burden of risk?

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Q. What is the secondary burden of risk in insurance?

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Q. What is one of the physical and mental strains caused by the secondary burden of risk?

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Q. Why is transferring the risk to an insurer important in managing the secondary burden of risk?

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Q. Which among the following is a secondary burden of risk?

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Q. What is the principle that underlies insurance contracts?

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Q. How do insurance companies reduce risk in financial markets?

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Q. In the context of risk reduction, what does "Diversification" involve?

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Q. How do funds flow in the principle of mutuality?

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Q. What creates a potential corpus of money in insurance contracts?

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Q. What makes insurance unique among financial products?

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Q. What is "risk avoidance" in the context of risk management?

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Q. What is "self-insurance" in risk management?

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Q. Which risk management approach is described as more practical and relevant than risk avoidance?

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