Risk Management Ch 6

5. person, posing as a customer, takes good from a store without paying for them.
8. potential that the market for new goods or services is much less than originally thought.
9. state mandated business insurance program intended to provide medical and financial support for workers who are injured at the workplace.
10. statement of product quality and promise to compensate customers for faulty products.
15. three party contract that guarantees one party will fulfill its obligation to a second party.
17. theft involving another person, often by using force or the threat of violence.
18. cannot be avoided but can be minimized by purchasing insurance or implementing a risk plan.
19. employees stealing from the business for which they work for.
20. type of fraud that occurs when somebody entrusted with company information, financial records, money or other valuables.

1. insurance provision that requires a policyholder to be the party at risk of suffering a loss.
2. situation caused by nature.
3. theft that occurs when a person breaks into a business to steal merchandise, money, valuable merchandise or confidential information.
4. situation that cannot be predicted or covered by purchasing insurance.
6. situations caused by humans.
7. evaluating and updating current products or adding new products to replace older ones.
11. situation that occurs when the economy suffers due to negative business conditions in the country
12. when customers no longer want to buy a product and a business owner is stuck with merchandise they cannot sell.
13. risk that an insurance company will not cover.
14. cheating or deceiving a business out of money or property.
16. amount paid for insurance by the policy holder.