CompTIA Project+ PK0-004 – Question170

A risk with a high probability and medium consequence to a project has been identified. In response, the project manager has purchased an insurance plan with the intent to provide additional funds if the risk is realized.
There is no risk to the schedule or scope. Which of the following types of risk strategies is this an example of?

A.
Accept risk
B. Transfer risk
C. Mitigate risk
D. Exploit risk
E. Avoid risk

Correct Answer: B

Explanation:

Explanation
“Transfer: Moving the liability for the risk to a third party by purchasing insurance, performance bonds, and so on”
Excerpt From: Kim Heldman. “CompTIA Project+ Study Guide.” iBooks.