Which of the Following Risks Would Be the Best Candidate

question 33

Multiple Choice

Which of the following risks would be the best candidate for self insurance?

• A) Potential malpractice suits for a 5 doctor surgery group.
• B) Fire insurance for a business that operates 3 restaurants.
• C) Life insurance on the partners of a 3 lawyer law firm. If one of the partners dies, the other two will need to buy her share of the business.
• D) A large parcel delivery company sustains occasional damage to its vehicles.

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Definitions:

Electrical Power

The rate at which electrical energy is transferred by an electric circuit, usually measured in watts, and it dictates the energy supplied or consumed by electrical devices.

Engine Control Module

An electronic control unit that manages various engine functions, optimizing performance, emissions, and fuel economy.

Fault

A defect in a system that can cause it to fail or perform suboptimally.

Sealed Beams Headlights

Headlight units with a sealed, all-in-one design that includes the filament, reflector, and lens, providing a specific beam pattern.