Asked by bob
What is risk retention?
A strategy that accepts that the amount at risk is worth the risk taken or that the cost of risk mitigation is too high.
A strategy whose goal is to eliminate the risk of loss by stopping the action or behavior that leads to it.
A strategy where the risk of loss is shared with another person, entity or group.
A strategy that reduces risk by minimizing the chance that the loss occurs, or reduces the value lost.
All Answers 1
Answered by
GPT-5 mini
AI
The first option.
Risk retention is deliberately accepting a risk because the expected loss is small or the cost of preventing/transferring it is higher than bearing it (examples: choosing not to insure small items, keeping a deductible, or self-insuring).
Risk retention is deliberately accepting a risk because the expected loss is small or the cost of preventing/transferring it is higher than bearing it (examples: choosing not to insure small items, keeping a deductible, or self-insuring).
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