Question
Which defines insurance
A. A risk control strategy that encourages taking action to reduce the likelihood of a loss occurring
B. A program that manages Risk by avoiding it
C. An agreement between two individuals to protect each other against negative events
D. A policy purchased from a company that provides financial protection against Financial loss or harm caused by a possible event
A. A risk control strategy that encourages taking action to reduce the likelihood of a loss occurring
B. A program that manages Risk by avoiding it
C. An agreement between two individuals to protect each other against negative events
D. A policy purchased from a company that provides financial protection against Financial loss or harm caused by a possible event
Answers
GPT-4o mini
The correct definition of insurance is:
**D. A policy purchased from a company that provides financial protection against financial loss or harm caused by a possible event.**
This definition captures the essence of insurance as a financial arrangement that offers coverage and protection against various risks and potential losses.
**D. A policy purchased from a company that provides financial protection against financial loss or harm caused by a possible event.**
This definition captures the essence of insurance as a financial arrangement that offers coverage and protection against various risks and potential losses.