Risk managers avoid risks that have:
A)low frequency and low severity of losses.
B)high frequency and high severity of losses.
C)low frequency and high severity of losses.
D)high frequency and low severity of losses.
E)been insured or reinsured.

Question

Quizplus · Accepted Answer

Risk managers prioritize avoiding risks that have both high frequency and high severity of losses, as these pose the greatest threat to an organization's resources and sustainability.

Risk Managers Avoid Risks That Have