Which of the following statements about the loss control is not correct? A) Loss control is also known as risk control. B) Loss control can be classified into two categories, namely loss prevention and loss reduction. C) A number of activities associated with loss control simultaneously reduce both loss frequency as well as severity. D) Risk transfer is an example of loss control.

Question

Quizplus · Accepted Answer

Risk transfer is not an example of loss control, but rather a risk management technique that involves shifting the financial burden of loss to another party, such as an insurance company. Loss control focuses on preventing or minimizing losses, whereas risk transfer involves transferring the financial impact of potential losses.

Which of the Following Statements About the Loss Control Is