Insurance

What is Risk?

Risk

[risk]

noun

1.

Risk is the likelihood that an insured event occurs, that is, an event in which the insurance company is likely to pay out a Claim. Insurance companies use Risk when determining whether to insure a home, car, or individual, and when setting Premiums. People with lower Risk generally pay lower rates, and people with higher Risk generally pay higher rates.

Have A Question About This Topic?

Thank you! Oops!
 

Related Content

Password Protection Strategies

Password Protection Strategies

Simple steps may help you foil hackers and protect your privacy.

What is a Broker?

What is a Broker?

Do you know what a Broker is?

What is a Carrier?

What is a Carrier?

Do you know what a Carrier is?