Definition of "Risk philosophy"

Personal view regarding how losses occur and the validity of loss prevention and reduction; also, whether an individual is a risk taker or a risk avoider. For example, if a driver takes the view that dying in a serious automobile accident is inevitable, then use of seat belts is unnecessary. On the other hand, a driver's philosophy may be that wearing a seat belt will minimize injury and reduce the chance of dying in an accident.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Insurance Terms

Person other than the annuitant as designated by the policyholder on whose life expectancy the annuity payment is also based. ...

Coverage for sample merchandise while in the custody of a salesperson. ...

Policy that pays a dividend to its owner. ...

Insurance policy for which the required premium has been paid. ...

Holding company established by a mutual insurance company. The mutual insurance company has 100% ownership of the holding company. ...

Employee benefit plans under which both the employee and the employer pay part of the premium. Contribution ratios vary. For example, an employer contributes two dollars for every dollar ...

Addition to a business property insurance policy to cover loss of earnings, subject to a monthly limit, in the event that property of an insured is destroyed and a business cannot continue. ...

Actuary, appointed by the life insurance company, required by the national association of insurance commissioners (naic) under the naic: standard valuation law to provide an opinion as to ...

Eligible rollover distribution that is paid directly from an employee's employee benefit insurance plan to the employee's individual retirement account (IRA) or to another plan maintained ...

Popular Insurance Questions