Question

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

a.

To increase the physical and mental strains

b.

To enjoy fear and anxiety

c.

To invest funds more effectively

d.

To achieve peace of mind and invest funds more effectively

Posted under IC38 Life Insurance Agent Exam

Answer: (d).To achieve peace of mind and invest funds more effectively Explanation:Transferring the risk to an insurer allows individuals to enjoy peace of mind and invest their funds more effectively, reducing the strains associated with 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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