The Reduction of Risk That Occurs with Purchasing Insurance Is

question 53

Multiple Choice

The reduction of risk that occurs with purchasing insurance is primarily due to the

• A)hazards you face.
• B)principle of indemnity.
• C)law of large numbers.
• D)large-loss principle.

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Definitions:

Classically Conditioned

The process by which a neutral stimulus becomes associated with a meaningful stimulus and acquires the capacity to elicit a similar response.

Rectangle

A quadrilateral with four right angles and opposite sides that are parallel and of equal length.

Extinction

In psychology, the gradual weakening and eventual disappearance of a conditioned response when the conditioned stimulus is presented without the unconditioned stimulus.

Classical Conditioning

A method where learning occurs by continuously associating two stimuli, making a response that was elicited by the second stimulus to be elicited by the first stimulus over time.