Q. What does insurance provide protection against when it comes to assets?

View solution

Q. Can insurance protect an asset from loss or damage caused by natural disasters like earthquakes?

View solution

Q. How can insurance help in the event of loss or damage to assets?

View solution

Q. What is the primary function of life insurance?

View solution

Q. What is risk, in the context of insurance?

View solution

Q. What is the term used to refer to the cause of a loss in insurance?

View solution

Q. Why are losses arising out of normal wear and tear not covered in insurance?

View solution

Q. When does insurance come into play in the event of a peril?

View solution

Q. What is the term used to describe losses that result in total loss or bankruptcy?

View solution

Q. What is the primary factor that determines the extent of damage likely to be suffered in a risk event or situation?

View solution

Q. Which of the following would be considered a critical loss?

View solution

Q. What is the defining characteristic of catastrophic losses in insurance?

View solution

Q. Which of the following events would be categorized as a catastrophic loss?

View solution

Q. What is the defining characteristic of marginal/insignificant losses in insurance?

View solution

Q. What is a hazard in the context of insurance?

View solution

Q. What is the primary purpose of assessing hazards in insurance underwriting?

View solution

Q. What is a physical hazard in the context of insurance?

View solution

Q. Which of the following is an example of a moral hazard?

View solution

Q. What is a legal hazard in insurance?

View solution

Q. What mathematical principle makes insurance possible?

View solution