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Real-Life Activities

Real-Life Decision Making -- Solution

You decide to reconsider your recommendation.

The vice-president of the plastics plant doesn't cancel his contract and your company insures the business, based on your report.

Some time later, a fire occurs at the plastics plant. The sprinkler system fails and lives are lost. The insurance company you work for suffers huge losses as a result.

"This is sometimes a difficult situation with businesses that haven't had many losses in the past," says insurance inspector Don Lopes. "But you have to make them understand that something will eventually happen if they don't upgrade."