CFAI EOC's reading 30 - Contingent claim risk standard, reading, however

Colum

Can someone help me clarify what is meant by contingent claim risk? Question 27 is an example.
My understanding was that a bond had to be callable to have contingent claim risk, however in this example, they are using standard immunization with non-callable bonds, yet the answer says they have contingent claims risk.

draz

isn’t contingent claims risk any risk thats dependent on something else happening? Can be call risk or event risk

franzino

It is basically a prepayment risk

soddy1979

what cfaboston said…for example, life insurance companies have a contingent claims risk due to distermediation.
Best,
TheChad