KY Property and Casualty Insurance Pre-Licensing Exam with answers 2024

KY Property and Casualty Insurance Pre-Licensing Examexposures - CORRECT ANSWER being subject to a loss risk - CORRECT ANSWER chance/possibility of loss Law of Large Numbers - CORRECT ANSWER the more numbers used in a statistic, the more accurate the statistic will be pure risk - CORRECT ANSWER only the possibility of loss speculative risk - CORRECT ANSWER a situation in which either profit or loss is possible Risk Management Strategies - CORRECT ANSWER Avoid, Reduce, Retain, Share, Transfer Peril - CORRECT ANSWER cause of loss Hazard - CORRECT ANSWER increases the chance of loss physical hazard - CORRECT ANSWER A tangible characteristic of property, persons, or operations that tends to increase the frequency or severity of loss. moral hazard - CORRECT ANSWER based on a person's values and ethics. A policyholder may attempt to create a loss on purpose in order to take advantage of an insurance company. morale hazard - CORRECT ANSWER deals more with carelessness or irresponsibility