What is a common strategy employed under risk control?

Prepare for the CII Certificate in Insurance exam with questions and flashcards designed to help you understand the key principles of general insurance.

Minimizing loss through safety measures is a fundamental strategy employed under risk control. This approach focuses on implementing various preventative measures to reduce the likelihood of incidents that could lead to financial losses or harm. By enhancing safety protocols, organizations can effectively diminish the frequency and severity of risks, ultimately protecting both their assets and liabilities.

Incorporating safety measures can take various forms, such as routine maintenance, employee training, installing safety equipment, or establishing safety policies. These strategies not only help in avoiding potential losses but also foster a culture of safety within an organization, which can enhance overall operational efficiency.

The other options do not align with standard risk control strategies. For example, tax benefits for insurers pertain more to financial incentives rather than direct actions taken to manage risk. Encouraging high-risk behavior directly contradicts risk control principles as it would likely increase exposure to loss. Finally, full acceptance of risks without mitigation would be seen as neglectful, as it lacks any proactive efforts to safeguard against potential issues.

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