The CEO of a company is concerned that if a data breach should occur and customer data is exposed, the company could be sued. The CEO makes the decision to buy insurance for the company. What type of risk mitigation is the CEO implementing?

Last Updated: Dec 25, 2023
IT Exam Items Repository › Category: Cyber Threat Management › The CEO of a company is concerned that if a data breach should occur and customer data is exposed, the company could be sued. The CEO makes the decision to buy insurance for the company. What type of risk mitigation is the CEO implementing?

The CEO of a company is concerned that if a data breach should occur and customer data is exposed, the company could be sued. The CEO makes the decision to buy insurance for the company. What type of risk mitigation is the CEO implementing?

  • avoidance
  • mitigation
  • transference
  • reduction

Explanation: Buying insurance transfers the risk to a third party.

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