Question 1028 of 303 · California Life-Only Agent Exam
Which of the following is an example of the sharing method of managing risk?
Exactly one answer is correct.
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Correct answer to question 1028
- B: Neighbors agree to split the cost of storm damage
Explanation
Sharing spreads a loss among a group, which is the basic idea behind insurance pooling. Self-funding is retention and deadbolts are loss reduction.
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