chapter 14 test

Define "risk"

• Predictability

•  the possibility of incurring a loss

•  loss of personal or business property

• Personal, property, liability

what is liability risk?

• harm or injury to others or their property

• a policyholder’s request for payment for a loss that the insurance policy covers.

• I don't know

controlled risk

• can not be reduced or eliminated

• financial loss

• can be reduced or eliminated

Is Weather a controlled risk?

• sometimes

• yes

• no

what are the 4 ways of dealing with risk?

• controlled, jail, love, money

• harm or injury to others or their property

• avoid, transfer, insure, and assume

• uncontrollable, weather, tornado and flood

property rights

• the exclusive rights to possess and use property and its profits.

• exchanges the uncertainty of a possible $ loss for a smaller payment

• loss of personal or business property

• what is a property right?

counterfeiting

• legal uses of intellectual property, patents, trademarks, and copyrights.

•  illegal uses of intellectual property, patents, trademarks, and copyrights.

• the exclusive rights to possess and use property and its profits.

• intellectual property, patents, trademarks, and copyrights.

international property rights

• Patent 

  Trademark 

  Copyright 

  Counterfeiting 

•  

  Insuring personnel 

  Health insurance

  Life insurance 

  Disability insurance

• type

  quality

• Policyholder

  Insurance policy 

  Premium 

  Claim

What are the 3 major areas that can be covered by business insurance?

• Personal 

  Property,Business operations

• Insurable risk 

  Risk and amount of loss must be predictable 

  If the cost is too high, businesses must find other ways to deal with those uninsurable risks

• reducing risk

  transfer

  avoid

premium

• a policyholder’s request for payment for a loss that the insurance policy covers.

• the amount a policyholder must pay for insurance coverage.