Question

which type of risk is classified as insurable *
speculative
pure
exposure
insurability

risk in insurance terminology refers to*
the uncertainty of a loss
the cause of a peril
the certainty of a loss
the hazard that causes a claim

what does risk pooling mean?
charging higher premiums
spreading risk among a large group
eliminating losses

Explanation:

1. For the first question: Pure risks involve only the possibility of loss or no loss, which fits the criteria for insurability, unlike speculative risks which have gain potential.
2. For the second question: In insurance, risk is defined as the uncertainty surrounding whether a financial loss will occur.
3. For the third question: Risk pooling is the core insurance principle of distributing potential losses across a large group to reduce the burden on any single member.

Answer:

1. pure
2. The uncertainty of a loss
3. spreading risk among a large group