Which of the following statements best summarizes the function of insurance?
A) It protects against living too long.
B) It spreads financial risk over a large group so as to minimize the loss to any one individual.
C) It is a form of legalized gambling.
D) It spreads financial risk over a diverse group of people who are exposed to different risks."
Ans: B) It spreads financial risk over a large group so as to minimize the loss to any one individual.
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Company-sponsored pension plans are regulated by
A) the Employee Retirement Benefit Act (ERBA). B) the Old-Age, Survivors, Disability, and Health Insurance Act (OASDHI). C) the Retirement Accounting Standards Board (RASB). D) the Employee Retirement Income Security Act (ERISA).
Describe the different ways of categorizing CRM
What will be an ideal response?