CPHRM Loss Prevention 4

Question 1

A risk manager is evaluating the financial impact of retaining risk versus purchasing insurance. This analysis is BEST described as:

Accepted Answer

Cost-benefit analysis of risk financing

Answer

Comparing the costs of self-retention against insurance premiums and coverage is a cost-benefit analysis within risk financing decision-making.

Question 2

Which of the following BEST defines 'claims-made' insurance coverage?

Accepted Answer

Coverage for incidents that occurred and are reported during the policy period

Answer

A claims-made policy provides coverage only if the incident occurred and the claim is reported while the policy is in force.

Question 3

Which legal doctrine holds hospitals responsible for the negligent acts of their employed physicians?

Accepted Answer

Respondeat superior

Answer

Respondeat superior ('let the master answer') holds employers vicariously liable for the negligent acts of employees acting within the scope of their employment.

Question 4

What is the primary purpose of a healthcare organization's risk register?

Accepted Answer

To document and prioritize identified risks across the organization

Answer

A risk register is a centralized tool that documents identified risks, their likelihood, potential impact, and mitigation strategies.

Question 5

Which action BEST reduces the risk of patient elopement in a psychiatric facility?

Accepted Answer

Implementing a structured risk assessment at admission and ongoing monitoring

Answer

Structured elopement risk assessment at admission, with regular reassessment, guides targeted interventions to prevent unauthorized patient departure.

CPHRM Exam Practice Test

CPHRM Exam Practice Test

CPHRM Loss Prevention 4