Which of the Following Statements Is TRUE with Respect to Exclusion

question 59

Multiple Choice

Which of the following statements is TRUE with respect to exclusion clauses and risk management?

• A)An exclusion clause can be inserted into a contract for the sale of goods.
• B)An exclusion clause can affect liability for property damage but not for personal injury.
• C)An exclusion clause can be used by a person but not by a corporation.
• D)An exclusion clause represents a type of risk acceptance.
• E)An exclusion clause always shifts the risk of liability onto an insurance company.