Physical hazards indicate those dangers of the subject-matter of insurance which can be identified by mere inspection of the risk.
It is required to know the complex classification and sub-classification of risk and also an insight on risks which can be insured and which cannot be.
Insurance is a device that gives protection against risk. A risk must have certain elements in it make it insurable.
In business or personal life, no one cannot avoid the risk and uncertainty it may bring.
After identifying risk, question of its frequency or magnitude would be very much relevant in insurance.
Marine Perils means the perils consequent on or incidental to the navigation of the sea.
Reinsurance is used in various branches of Insurance industry like; fire insurance, marine insurance, life insurance, property insurance.
Pure risks are those risks where the outcome shall result into loss only or at best a break-even situation.
Risk denotes a potential negative impact to an asset or some characteristic of value that may arise from some present process or from some future event.
The study under the property insurance shall not be complete until discussion is made with regard to war risk insurance, since war is a peril, which substantially causes damages to properties of various descriptions.