Which of the Following Is True of Insurance

question 94

Multiple Choice

Which of the following is true of insurance?

• A) All risks are insurable.
• B) An insurance company only charges a fee for large businesses with over 100 employees.
• C) Insurance companies make profits by requiring a relatively large fee compared to the amount of loss that is possible.
• D) The insurance company makes a profit by collecting premiums from many businesses for the same set of risks.

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Definitions:

Technological Reliance

The extent to which individuals, societies, or organizations depend on technology for functioning and advancements.

Expert Systems

Computer systems that mimic the decision-making abilities of a human expert in a specific field, using a set of programmed rules.

Orientalism

A term describing the Western depiction and stereotyping of aspects of Eastern cultures, often based on unfounded assumptions.

Consequences

Outcomes or effects that result from an action or condition, impacting future events and decisions.