AFP
CTP · Question #723
(Topic 8) Company ABC decides to outsource certain activities to an unrelated company and have that company assume the associated loss exposures. What loss control technique is Company ABC using?
The correct answer is D. Contractual transfer. See the full explanation below for the reasoning.
Question
- (Topic 8)
Company ABC decides to outsource certain activities to an unrelated company and have that company assume the associated loss exposures. What loss control technique is Company ABC using?
Options
- AControl of isolated losses
- BRisk retention group
- CSeparation of exposures
- DContractual transfer
How the community answered
(22 responses)- A5% (1)
- B18% (4)
- C5% (1)
- D73% (16)
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