Ciscon Telecom is a mobile operator in the European Union.The company provides personalized services to its customers,and its databases contain valuable information about the customers.The loss of customer information that is used to decide services would be extremely harmful to the organization.Which of the following strategies adopted by Ciscon is an example of risk transference?
A) The company insures any possible data loss for a large sum.
B) The company forms a special team of top executives to monitor and correct the information policies.
C) It installs a corporate firewall to protect unauthorized access to information.
D) It enforces a strict employee data policy and prohibits employees from unauthorized access.
E) The company decides to absorb any damages that might occur.

Question

Quizplus · Accepted Answer

Risk transference means transferring the risk to another party through insurance or contracts. In this case, Ciscon Telecom insures against possible data loss, which is an example of risk transference.

Ciscon Telecom Is a Mobile Operator in the European Union