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The factor which increases the possibility of loss that emanates from the insured attitude is?

Insurance
WAEC 2017

The factor which increases the possibility of loss that emanates from the insured attitude is?

  • A. physical hazard
  • B. moral hazard
  • C. uninsured peril
  • D. excepted peril
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Correct Answer: Option B
Explanation

moral hazard occurs when someone increases their exposure to risk when insured, especially when a person takes more risks because someone else bears the cost of those risks.

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