Roshoud is the VP of customer operations for Galactic Kidz and the project funder of the latest project, called Project G. He discusses with Sally, the project manager, how they will respond to the risks identified. For one risk in particular, he asks Sally to facilitate the purchase of insurance to protect against a liability. Select the type of risk response:
Purchasing insurance is an example of the transfer risk response. This involves shifting ownership of a threat to a third party to manage the risk and to own the impact if the threat occurs.