What would happen if a company enacts its Contingency Agreement following a natural disaster?

What would happen if a company enacts its Contingency Agreement following a natural disaster?
A . they will receive a financial pay-out
B. they will receive operational help from a third party
C. they will be able to claim on insurance
D. they will be able to breach any contracts that it has

View Answer

Answer: B

Explanation:

They will receive operational help from a third party is the correct answer. Unlike insurance, a contingency plan provides operational help, not just financial. This could be in providing an emergency workspace, helping to get IT systems back up and running or providing emergency air freight. This is explained on p.91-92 of the study guide