Which of the following is likely to have contributed to the failure of HIH Insurance?
A)unsupervised delegated authority
B)rapid expansion
C)fraudulent reporting
D)All of the above contributed to the failure of HIH.

Question

Quizplus · Accepted Answer

All of the listed factors contributed to the failure of HIH Insurance. Unsatisfactory practices of delegated authority were not adequately supervised, leading to poor decision-making and excessive risk-taking. Rapid expansion led to a lack of control over operations and inadequate management of resources. Fraudulent reporting facilitated the concealment of the company's poor financial state, leading to investors' and customers' loss of confidence in the institution.

Which of the Following Is Likely to Have Contributed to the Failure