Risk retention for minor losses is a recommended risk management strategy.

Question

Quizplus · Accepted Answer

Risk retention for minor losses means accepting the risk and covering the cost of any losses that occur. This is a recommended risk management strategy for minor losses as transferring the risk to an insurance company or other party may result in higher costs due to premiums or deductibles. However, for major losses or catastrophic events, risk transfer may be a more appropriate strategy.

Risk Retention for Minor Losses Is a Recommended Risk Management