Hurricane damage in a given area is an example of a ____________________ for which it is difficult to predict loss exposure.

Question

Quizplus · Accepted Answer

Hurricane damage is a high-severity, low-frequency event, meaning that it can cause significant damage but occurs relatively infrequently. This makes it difficult to predict loss exposure because the severity of the damage can vary greatly and there is not enough data to accurately estimate the likelihood of occurrence.

Hurricane Damage in a Given Area Is an Example of a ____________________