Risk transfer means

A. Insuring with an insurance company

B. Insuring with an Government

C. Insuring with the owner of the company

D. Risk retention

Answer: Option A

Solution(By Examveda Team)

Risk transfer means insuring with an insurance company. Risk transfer is most often accomplished through an insurance policy. This is a voluntary arrangement between two parties, the insurance company and the policyholder, where the insurance company assumes strictly defined financial risks from the policyholder.