Which of the Following Is False Concerning Environmental Impairment Liability

question 14

Multiple Choice

Which of the following is false concerning Environmental Impairment Liability (EIL) coverage?

• A) It is expensive and difficult to place.
• B) Most small firms do not need it since they are immune from liability.
• C) The content of the insurance contract is subject to negotiation between insureds and insurers.
• D) Federal laws impose legal responsibility on polluters.

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Definitions:

Neoclassical Models

Economic theories and models that focus on the determination of prices, outputs, and income distributions in markets through supply and demand, often under the assumption of rational behavior and efficient markets.

Economic Outcomes

The results or consequences of economic activities, including growth, employment levels, and wealth distribution.

Context Affects

The influence of situational and environmental factors on perceptions, decisions, and behaviors.

Preferences

Individual tastes or desires that influence their choices among various goods, services, or outcomes.