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in which the number of exposure units are
increased but the additional units are not used
unless something happens to the original units.
That is the taxi company can maintain more taxis
to supplement any loss of its fleet.

(v) Contractual transfer to a non-insurer - This
means transferring of the exposure to a non insurer
through a contractual arrangement. Once the
exposure gets transferred, the transferor no longer
has a legal or financial responsibility for any loss
from that exposure.

E.g, contractual transfers through lease agreements
and subcontracts. Contractual transfer of exposure
to possible loss to a non-insurer is different from
exposure avoidance because the exposure to
possible loss still exists, though being transferred
to someone else.

In exposure avoidance, the exposure does not exist
at all.

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