ISC2 Governance, Risk and Compliance (CGRC) Practice Question
During the review of an initial assessment report, you identify that a regional data center is in a floodplain. Relocating the facility is cost-prohibitive, but an insurance carrier offers coverage for flood-related losses. Which risk response approach aligns best with this decision?
Avoid the risk by decommissioning the data center and moving all workloads elsewhere.
Accept the risk and rely on existing disaster recovery plans.
Share/transfer the risk by purchasing flood insurance.
Mitigate the risk by installing flood barriers and sump pumps.
Purchasing flood insurance shifts the financial impact of the threat to a third party, so it is a risk sharing or transfer strategy. Mitigation would involve adding or enhancing controls such as flood barriers or pumps. Avoidance would remove the risk entirely by shutting down or relocating the center. Acceptance would acknowledge the exposure without additional treatment, relying only on monitoring or contingency planning.
Ask Bash
Bash is our AI bot, trained to help you pass your exam. AI Generated Content may display inaccurate information, always double-check anything important.
What is a risk sharing or transfer strategy?
Open an interactive chat with Bash
Why is accepting a risk different from transferring it?
Open an interactive chat with Bash
What factors influence the decision to transfer risk versus mitigate it?
Open an interactive chat with Bash
ISC2 Governance, Risk and Compliance (CGRC)
Assessment/Audit of Security and Privacy Controls
Your Score:
Report Issue
Bash, the Crucial Exams Chat Bot
AI Bot
Loading...
Loading...
Loading...
Pass with Confidence.
IT & Cybersecurity Package
You have hit the limits of our free tier, become a Premium Member today for unlimited access.
Military, Healthcare worker, Gov. employee or Teacher? See if you qualify for a Community Discount.
Monthly
$19.99
$19.99/mo
Billed monthly, Cancel any time.
3 Month Pass
$44.99
$14.99/mo
One time purchase of $44.99, Does not auto-renew.
MOST POPULAR
Annual Pass
$119.99
$9.99/mo
One time purchase of $119.99, Does not auto-renew.
BEST DEAL
Lifetime Pass
$189.99
One time purchase, Good for life.
What You Get
All IT & Cybersecurity Package plans include the following perks and exams .