Mark owns a 2006 sedan. The last time Mark renewed his auto insurance, he decided to drop the physical damage insurance on this vehicle. How is Mark dealing with the auto physical damage exposure in his personal risk management program?
A) risk transfer
B) passive retention
C) avoidance
D) active retention
Answer: D
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A) $225,390 B) $205,000 C) $186,364 D) $225,500
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Which of the following would be considered a valid and legally enforceable agreement?
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