Fundamentals of Risk: An Overview

[rahim2008]

Risk is something which takes some amount of uncertainty. Risk insurance means uncertainty of loss. But in insurance risk means uncertainty of loss which can be measured in terms of money. For example, accident of a car, burning of a house.

According to Professor Mark R. Greene, “Risk is the uncertainty of the occurrence of an economic loss”.

According to Frank Knight, “Risk is measurable and uncertainty”.