Charging Risk-Based Insurance Premiums Is a Time-Honored Principle of Insurance

question 45

Multiple Choice

Charging risk-based insurance premiums is a time-honored principle of insurance management to reduce

• A)moral hazard.
• B)adverse selection.
• C)free riding.
• D)principal-agent problems.

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Definitions:

Affective Commitment

is an employee's emotional attachment to, identification with, and involvement in an organization, which influences their decision to continue or discontinue employment.

Ethnocentrism

The practice of evaluating a different culture exclusively through the lens of one's own cultural norms and values.

Overload

A situation where the amount of work or information exceeds an individual's capacity to process it, leading to stress or decreased performance.

Collateral Stress Programs

Are organizational programs created specifically to help employees deal with stress.