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18 January, 13:28

Which of the following is NOT a type of funded retention? a: reservesB: self-insurancec: captivesd. credite: all of the above

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  1. 18 January, 13:56
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    Option E, All the above are examples of funded retention

    Explanation:

    Funded retention - risk management term refers to a program in which an entity retains assets in advance, instead of distributed to the insured or another group, to pay for risks incurred by the company.

    The insurance exclusion is a common example of a transfer of risk to save premiums, as a deduction is a limited risk that can save insurance premium costs for greater risks.

    Based on the cost or absence of commercial insurance companies actively maintain certain risks-which is commonly known as self-insurance.
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