Question 1030 of 303 · California Life-Only Agent Exam
A pure risk differs from a speculative risk because a pure risk
Exactly one answer is correct.
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Correct answer to question 1030
- D: offers no possibility of gain
Explanation
Pure risks involve loss or no loss. That is why they are the type that insurers generally accept.
More questions: Basic Insurance Concepts and Principles
- 1031Which concept holds that the insured should not be allowed to profit from a loss?
- 1001Under California Insurance Code section 22, insurance is best described as which of the following?
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- 1003A homeowner faces the possibility of a fire loss but has no chance of gaining from a fire. This is which kind of risk?
- 1004Which of the following is an example of a speculative risk?
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