Forrest, age 17, just bought a car for $1,000 to drive to his part-time job. His parents have consulted you on the best risk management techniques for property and liability loss exposure in connection with the car. Which of the following recommendations is most appropriate?

		Insurance for both the property loss exposure and the liability loss exposure.
		Avoidance for the property loss exposure, reduction for the liability loss exposure.
		Retention for both the property loss exposure and the liability loss exposure.
		Retention for the property loss exposure, transfer for the liability loss exposure.