Long Term Care Certification Practice Test

A report ordered by underwriting shows an applicant has been arrested for drunk driving 3 times. What type of hazard has the applicant exhibited?

1. Physical

2. Morale

3. Legal

4. Class

The correct answer is: Morale

The correct choice reflects a morale hazard, which refers to an increased risk of loss due to the individual's attitude or conduct toward risk-taking and carelessness. In this scenario, the applicant's history of multiple drunk driving arrests indicates a disregard for safety and the law, showcasing a pattern of behavior that contributes to a higher likelihood of future risks. Morale hazards involve situations where a person’s irresponsible behavior leads to an increased chance of loss or injury. While the applicant’s actions are illegal, the focus in this context is on the careless attitude toward drinking and driving rather than a direct impact on physical conditions of the environment, which would be classified as a physical hazard. To provide a contrasting understanding, a physical hazard would involve tangible risks such as malfunctioning machinery or unsafe working conditions. Legal hazards typically refer to risks stemming from legal liabilities or the potential for lawsuits, and class hazards would involve the categorization of certain risks within insurance underwriting practices. The applicant's repeated offenses illustrate a mindset that diminishes caution, which is central to the concept of morale hazard, explaining why this answer is appropriate.