Types of Risks

types of risks and ways to handle them

What is a risk?

A risk is a possibility of incurring a loss

Different Types of Risk

Economic Risk - A type of risk that results in financial loss

Non-Economic - A type of risk that may result in the embarrassment or inconvenience without financial impact

Pure Risk - A type of risk that is a threat of a loss without an opportunity for gain

Speculative Risk - A type of risk that offers the chance to experience gain or loss

Controllable Risk - A type of risk that occurs when conditions can be controlled to lessen the chance of harm

Uncontrollable Risk - A type of risk that cannot be controlled or reduced by actions

Insurable Risk - A type of risk that meets the criteria of an insurance company for coverage

Uninsurable Risk - A type of risk that the possible amount of loss is simply unpredictable