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ALL of the following are ways of handling risk, EXCEPT:

a. Retaining the risk.
b. Transferring risk.
c. Avoiding risk.
d. Exposing the risk.

User Luchux
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1 Answer

4 votes

Final answer:

Among the given options for handling risk, 'exposing the risk' is not a recognized strategy. Risk can be managed by retaining, transferring, or avoiding it, but not by deliberate exposure without a mitigation plan.

Step-by-step explanation:

All of the following are ways of handling risk, EXCEPT:

  • Retaining the risk: This means that an individual or a business decides to take the chance and assume the financial risks themselves.
  • Transferring risk: This is done through insurance policies or other contracts where the risk is shifted to another party.
  • Avoiding risk: Here, any activity that might lead to risk is not undertaken.
  • Exposing the risk: This is not a commonly recognized strategy for managing risk. Generally, the recognized strategies do not include deliberately exposing oneself to risk without mitigation.

Therefore, the answer is d. Exposing the risk.

User Andrea Parodi
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