Use the Following to Answer Questions

question 162

Multiple Choice

Use the following to answer questions:
Scenario: Flood Area
Suppose you own a home that is estimated to be worth $250,000. You live in a flood plain; as a result, the probability that you will lose your home to a flood is 30%.
-(Scenario: Flood Area) Look at the scenario Flood Area. Suppose an insurance company offers you flood insurance. Most likely this insurance would require a premium payment:

• A) greater than $250,000.
• B) greater than $75,000.
• C) less than $15,000.
• D) equal to $100,000.

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Definitions:

Developing

pertains to countries or regions undergoing industrialization, modernization, and economic growth, often characterized by lower living standards compared to developed nations.

International Labour Organization

A United Nations agency that sets international labor standards and promotes rights at work, encouraging decent employment opportunities and enhancing social protection for all workers.

Workers

Denotes individuals who perform tasks or services, usually for payment, within various employment settings, contributing to the production of goods or provision of services.

Poverty

A state of having insufficient financial resources or income to meet basic living needs such as food, shelter, and clothing.