Risk Insurance Management Homework

RMI 2101 Fall 2015

Homework Assignment 2 12 Points

Due on Wednesday, September 16, 2015 AT THE BEGINNING OF CLASS

Be careful to follow the Guidelines for Homework Document located in the Course Documents Section of Blackboard. Hint: Read the questions carefully and be sure that what you write answers the questions. Many times students give correct information in an answer but that information is not the answer to the question. 1. Refer to the bulk pack article in Topic 2: Arranging Insurance for Health Clubs. Among other things, this article discusses methods of loss exposure identification along

with various types of loss exposures that are somewhat unique for health clubs. You should make sure that you view the pre-recorded lecture concerning “Methods of Exposure Identification” under Topic 2 AND read the discussion in Chapter 2 of your text concerning ‘Methods of Exposure Identification’. You should do both of these before you attempt to answer this question.

Identify and briefly discuss two loss exposure identification methods illustrated in this article. Make sure you state specifically what type of loss each method is seeking to identify. [6 points]

2. Refer to the bulk pack article in Topic 2: The Only Lifeline was the Wal-Mart.

Consider the discussion of Risk Management Program Goals in Chapter 2 of your textbook. Based on your reading of this article, briefly discuss two specific examples of these goals that are illustrated by Wal-Mart. Specify whether your example illustrates a pre-loss goal or post-loss goal. [6 points]