Reciprocal Agreements in Disaster Recovery Planning: Risk Treatment Options

Reciprocal Agreements in Disaster Recovery Planning

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Question

When an organization's disaster recovery plan has a reciprocal agreement, which of the following risk treatment options is being applied?

Answers

Explanations

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A. B. C. D.

D.

When an organization's disaster recovery plan has a reciprocal agreement, the risk treatment option being applied is "Transfer."

Explanation:

Disaster recovery planning (DRP) is an essential component of an organization's risk management program. It involves creating a process for responding to unexpected events such as natural disasters, cyber-attacks, power outages, and other threats to the organization's operations.

One aspect of disaster recovery planning is establishing reciprocal agreements with other organizations. Reciprocal agreements are agreements between two or more organizations to provide disaster recovery services to each other in the event of a disruption. This can include shared backup sites, alternate processing sites, and other resources necessary to recover from a disaster.

Reciprocal agreements are a form of risk transfer because they transfer the risk of a disaster to another organization. In this case, the organization is transferring the risk of not being able to recover from a disaster to another organization.

Risk transfer is a risk treatment option where the risk is transferred to another party, such as an insurance company or a third-party service provider. In the case of disaster recovery planning, the organization is transferring the risk of not being able to recover from a disaster to another organization through a reciprocal agreement.

Therefore, the correct answer to the question is option A: Transfer.