Insurance risk

Insurance risk is an accident, because of which the policyholder loses or is liable for a certain object (it is specified in the insurance contract). Losses can be expressed in varying degrees of severity. And if this accident falls into the category of insured events, then the company (the insurer) is obliged to refund everything to you. Based on this, it becomes clear that the insurance risk is calculated based on the possibility of its occurrence.

The insurance contract is not conditional, even if the insurance risk never comes. But how do you understand that it happened? The signs determining the insurance risk are the probability and chance of its occurrence.

For convenience, a classification of some aspects has been developed, assessing which, you will understand, whether it is possible to consider what happened as such a risk:

• It is assumed that neither party, be it an insurer or an insurance subject, is aware of the exact onset of the risk and its amount.

• To determine the insurance premium, you need to refer to statistics that generalize and compare the homogeneous events of the plan you are interested in.

• In no case should the insurance risk be fictitious, i.e. The fruit of your imagination.

• Events that are of a massive nature, such as natural disasters, are not considered at all.

• The possibility of damage assessment.

Classification of insurance risks can be the most diverse:

- by source of danger:

• "Spontaneous" insurance risks, i. Those that are associated with any element: earthquakes or floods (including man-caused risks, such as explosions, fires, etc.);

• Related to the violation of the law (robbery, theft, etc.);

• Long-term life insurance and pension insurance .

- by volume of responsibility:

• Individual, which is characteristic of certain types of property, which are unique (antiques);

• Universal, which imply the standard scope of liability of the insurer.

- according to the event:

• Allowable;

• Critical;

• Catastrophic.

There are a large number of approaches to classify them, but for the most part there are certain types of insurance risks:

• Civil liability. This risk occurs if you work, for example, in harmful production. Companies are fully able to insure their civil liability before employees or partners or other persons;

• Those that are inextricably linked with transport. They consist in insuring the cargo or movable structure;

• Risks associated with the environment;

• Special risks. Distributed to exclusive items that do not have analogues in the world. Often applicable to jewelry, art, legendary musical instruments and so on;

• General technical risks. Sudden emergency situations or malfunctions in the mode of operation of technical equipment, which, with their consequences, threaten health either directly or even people's lives;

• Investment risks. They concern mainly the economically active part of the population, which constantly plays on the stock exchange. This insurance risk is associated with a failure to receive the planned or expected profit, and in some cases, with a complete loss of financial investments in the financing of projects. This group of risks is divided into subgroups:

1. Credit.

2. The entrepreneurial.

3. Financial.

4.Commercial.

In conclusion, I would like to say that the insurance risks described above are a kind of platform from which it is necessary to build off in determining your individual situation. All the risks in some way necessarily interrelated, so you need to clearly see which direction your case is referring to. On this depends the possibility of paying the insured amount and, of course, its exact size.