While preparing a risk map, risks like earthquake, tornado, mold exposure, and terrorism would usually:
A)fall into the low-frequency/high-severity quadrant.
B)fall into the high-frequency/high-severity quadrant.
C)fall into the low-frequency/low-severity quadrant.
D)fall into the high-frequency/low-severity quadrant.
E)be excluded because they usually cannot be insured and have to be retained.

Question

Quizplus · Accepted Answer

These risks are characterized by their low frequency of occurrence but potentially high severity in terms of damage and impact, fitting the low-frequency/high-severity quadrant of a risk map.

While Preparing a Risk Map, Risks Like Earthquake, Tornado, Mold