| A | B |
|---|
| Risk | The possibility of incurring a loss. |
| Risk Management | Systematic process of managing risk to achieve set objectives. |
| Economic Risk | Categories of this loss include personal, property and liability risk. |
| Non-economic Risk | Results in embarrassment or inconvenience without financial impact. |
| Pure Risk | Threat of a loss without an opportunity for gain. |
| Speculative Risk | Offers the chance of gain or loss. |
| Controllable Risk | Occurs when conditions can be controlled to lessen the chance of harm. |
| Uncontrollable Risk | Cannot be controlled or reduced by your actions. |
| Insurable Risk | Meets criteria of an insurance company for coverage. |
| Avoid Risk | Declining to engage in particular activities. |
| Transfer Risk | Allowing someone else to assume the risk. |
| Insure Risk | Purchasing insurance to cover risk. |
| Assume Risk | Finishing an activity and accepting full responsiblity. |
| Uninsurable Risks | Economic conditions, consumer demand, technology changes, and local factors. |
| Insurable Risks | Personnel, property and business operations. |
