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Governance, Risk, Audit & Privacy · Foundational

Risk Acceptance

Formal decision by an authorized risk owner to tolerate a risk without further treatment.

Definition

Risk is accepted when it falls within appetite or the cost of treatment exceeds the benefit. Acceptance should be documented, approved by someone with appropriate authority, time-bound, and periodically reviewed. Ignoring a risk without a decision is not acceptance; it is negligence.

Example

A business owner signs a one-year exception accepting the risk of a legacy system lacking encryption.

Exam tip

Only management or the risk owner, not the security team, should accept risk.

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