Michael is a college senior who is majoring in marketing. He owns a new 2020 Ford Truck that has a current market value of $32,500. The current replacement value of his clothes, television, stereo, cell phone, and other personal property in a rented apartment totals $70,000. He uses disposable contact lenses, which cost $200 for a six-month supply. Michael inherited a lake house that has chronically slippery sidewalks and gets many deliveries of mail. An avid runner, Michael runs five miles daily in a nearby public park that has the reputation of being extremely dangerous because of drug dealers, numerous assaults and muggings, and drive-by shootings. Michaels parents both work to help him pay his tuition.

For each of the following risks or loss exposures, identify an appropriate risk management technique that could have been used to deal with the exposure and the type of insurance (if recommending risk transfer).

1. Physical damage to the Ford truck because of a collision with another motorist
2. Liability lawsuit against Michael arising out of the negligent operation of his car
3. Total loss of clothes, television, stereo, and personal property because of a grease fire in the kitchen of his rented apartment
4. Disappearance of one contact lens
5. Physical assault on Michael by criminals who are dealing drugs in the park where he runs
6. Loss of tuition assistance from Michaels father, who becomes disabled as a result of a stroke and can no longer work.
7. Postal person slips on sidewalk and sues for $2MM in damages.