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CRISC Practice Question: During a quarterly risk review, it is discovered…

During a quarterly risk review, it is discovered that a previously accepted risk has materialized due to a change in the external environment. What is the MOST appropriate response?

⚠ Common exam trap

Candidates often confuse 'accept the impact' (Option C) with the original acceptance decision, failing to recognize that a materialized risk due to environmental change invalidates the prior acceptance and requires a new treatment evaluation.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Re-evaluate the risk treatment plan.

When a previously accepted risk materializes due to a change in the external environment, the risk treatment plan is no longer valid. The most appropriate response is to re-evaluate the risk treatment plan (Option D) because the original acceptance decision was based on assumptions that have now changed. This ensures that new controls or alternative treatments are considered to address the realized risk effectively.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Report to regulators.

    Why it's wrong here

    Reporting may be required but is not the first response to manage the risk.

  • Increase insurance coverage.

    Why it's wrong here

    Insurance is one option but not necessarily the most appropriate without analysis.

  • Accept the impact.

    Why it's wrong here

    Accepting without action may lead to further losses.

  • Re-evaluate the risk treatment plan.

    Why this is correct

    A materialized risk indicates the original plan is no longer adequate, requiring reassessment.

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CRISC practice question is part of Courseiva's free ISACA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CRISC exam.