MANAGEMENT

Detailed explanation-1: -An uninsurable risk could include a situation in which insurance is against the law, such as coverage for criminal penalties. An uninsurable risk can be an event that’s too likely to occur, such as a hurricane or flood, in an area where those disasters are frequent.

Detailed explanation-2: -A risk that an insurer will not take on. For example, this may be where an event is inevitable (such as a terminally-ill person’s death), gradual (such as rust or corrosion) or against the law.

Detailed explanation-3: -An insurable risk must have the prospect of accidental loss, meaning that the loss must be the result of an unintended action and must be unexpected in its exact timing and impact.

Detailed explanation-4: -Particular risk, in contrast to fundamental risk, refers to risks that affect an individual, such as a fire that destroys a family home, theft of a car or robbery. Particular risk can be insured.