Which safeguard can be applied to reduce threats to independence when a close family member of a member of the assurance team has significant influence over the engagement?

The correct response emphasizes a comprehensive approach to mitigating threats to independence, particularly in cases where there is a close family relationship involving significant influence over the engagement.

Removing the individual from the assurance team directly addresses the conflict of interest associated with personal relationships. By ensuring that the family member does not participate in the engagement, the risk of bias or compromise in judgment is minimized.

Structuring team responsibilities to separate duties is also crucial. This approach ensures that no single individual has control over all aspects of the audit process, making it less likely for any personal relationships to unduly influence the professional judgment of the team members involved.

Implementing communication policies regarding independence concerns fosters a culture of transparency. These policies encourage team members to speak up about potential conflicts of interest and promote vigilance in maintaining independence throughout the engagement process.

Combining these measures provides a robust framework for safeguarding independence, making it necessary and effective in addressing the challenges posed by significant influence from close family members. Thus, all these safeguards together present a holistic strategy that reinforces the ethical standards required in auditing professions.