Risk

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Risk Most often individuals/corporate bodies do not see the need getting an insurance cover. Our daily life and activities exposes us and or our businesses to known or unknown eventualities. A risk is an uncertainty concerning the possibility of loss by a peril for which insurance is pursued. Not every risk is insurable, while insurance is designed to help protect against the many risks or losses associated with the running of our lives or businesses, it has never been intended to cover everything. Risk can either be; Pure Risk ( where there is no possibility of a positive outcome something bad will happen or nothing at all will occur e.g fire, flood) OR Speculative Risk( there is a chance of loss, profit, or a possibility that nothing happens e.g Gambling). Insurance is more concerned with pure risk. Therefore for a risk to be considered insurable it must: -The loss should not be 'reasonable' not catastrophic. -Losses can be predicted by actuaries. -Loss must be the result of an unintentional act. -Losses should be defined and measurable #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful

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