Methods of Handling Risk (AZ-L)

Carl decided to sell his motorcycle, since he doesn’t want to get hurt in a motorcycle accident. Which method of handling risk is this?

Chris took his Ford to the shop to get new tires and have the brakes fixed.  Which method of handling risk is this?

Carrie has decided to not buy renter’s insurance, since she believes it is too expensive. Which method of handling risk is this?

Dario has a $500 deductible on his auto insurance policy. Having a deductible is considered which method of handling risk?

The Smith family lives in a friendly community where all the neighbors help each other out when tragedies or misfortunes strike. Neighbors helping each other is which method of handling risk?

David and Donna have purchased homeowner’s insurance to protect them if their home is damaged by a peril covered under the policy. Buying insurance is which method of handling risk?

Which of the following is the best example of risk transfer?

What are the five methods of handling risk?