CSRM Practice Questions - CSRM Certified School Risk Manager Exam

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A school district risk manager is evaluating a low-frequency, high-severity exposure such as a fire destroying a high school. Which treatment is generally most appropriate?

Full retention through the general fund Risk transfer through commercial property insurance or pool coverage Avoidance by closing the building Ignoring the exposure because it is unlikely

Correct Answer:

Risk transfer through commercial property insurance or pool coverage

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