What Is the Primary Value of Insurance to Business Enterprise

question 20

Multiple Choice

What is the primary value of insurance to business enterprise?

• A) It removes all tort and contract liability risk.
• B) It provides a means to shift risk away from the business to an insurer.
• C) It shields directors and officers from personal liability.
• D) It imposes a duty of utmost good faith on the business enterprise.

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Definitions:

Extreme Hostility

An intense form of aversion or aggression towards individuals or ideas, often manifesting in aggressive behavior or confrontation.

Cynicism

A negative attitude or skepticism towards something, often manifesting as mistrust or disenchantment with organizational initiatives or management.

Type A Behaviour

A personality trait characterized by high levels of competitiveness, impatience, aggressiveness, and a constant sense of urgency.

Physiologically Risky

Situations or activities that pose a potential danger or threat to the physical health or well-being of individuals.