Principles of Risk Management and Insurance, 13th Edition

Key Concepts and Terms

• Association or group captive  (53)

• Avoidance  (51)

• Captive insurer  (53)

• Cost of risk  (59)

• Deductible  (56)

• Diversification  (51)

• Duplication  (51)

• Excess insurance  (56)

• Loss exposure  (48)

• Loss frequency  (50)

• Loss prevention  (51)

• Loss reduction  (51)

• Loss severity  (50)

• Manuscript policy  (56)

• Maximum possible loss  (50)

• Noninsurance transfers  (55)

• Personal risk management  (59)

• Probable maximum loss  (50)

• Retention  (52)

• Retention level  (52)

• Risk control  (50)

• Risk financing  (51)

• Risk management  (48)

• Risk management manual  (58)

• Risk management policy statement  (58)

• Risk retention group  (55)

• Self-insurance  (54)

• Separation  (51)

• Single parent captive (pure captive) (54)