Risk

Risk is taken by the insurance company in the event of damage. When an insurance company takes in money in premiums, they then bear the risk for their policyholders.

What is asset risk?

Asset risk is the measure of an asset's standard potential or fluctuations in market value.

What is blended risk?

Blended risk has two meanings in insurance. First, it is the combination of traditional reinsurance products with capital market products such as securities and futures. Secondly, it is a limited risk reinsurance program that involves a small amount of risk transfer.

What is assumption of risk?

If a person is aware of the consequences of a particular act and voluntarily accepts that risk, he or she is solely responsible for any damages that occur.

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