Use severity limitations to reduce their risk exposure

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Reference no: EM132056043

Discussion Question

1. What is risk pooling? How can insurers reduce the size of the pool in order to reduce the average level of risk within the pool? Is there any limit to how small the pool can be?

2. How can insurers use severity limitations to reduce their risk exposure?

3. Discuss the elements of the risk management process and the techniques that can be used to mitigate against risk.

Reference no: EM132056043

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