Which loss reduction measure is a post-loss action?

Which loss reduction measure is a post-loss action?

• A. Installing an automatic sprinkler system
• B. Erecting fire walls in a building
• C. Enforcing a no-smoking policy throughout the building
• D. Establishing a plan to temporarily relocate to another location

Answer: (D)

Post-loss actions are measures taken after a loss occurs to minimize its consequences and support a faster recovery. Establishing a plan to temporarily relocate to another location fits this because it addresses continuity and operations after a disruption, reducing downtime and financial impact. The other options are pre-loss loss reduction measures aimed at preventing or limiting damage before a loss happens: installing an automatic sprinkler system reduces fire damage if one occurs, erecting fire walls helps contain a fire, and enforcing a no-smoking policy lowers fire risk during normal operations. Hence, the relocation plan is the post-loss action.

Post-loss actions are measures taken after a loss occurs to minimize its consequences and support a faster recovery. Establishing a plan to temporarily relocate to another location fits this because it addresses continuity and operations after a disruption, reducing downtime and financial impact. The other options are pre-loss loss reduction measures aimed at preventing or limiting damage before a loss happens: installing an automatic sprinkler system reduces fire damage if one occurs, erecting fire walls helps contain a fire, and enforcing a no-smoking policy lowers fire risk during normal operations. Hence, the relocation plan is the post-loss action.