Peril, Hazard and Loss Flashcards
1
Q
What is the definition of peril?
A
The cause of the loss, examples would be fire, theft, accident, illness, flood, and earthquakes.
2
Q
What is the definition of hazard?
A
The condition which increases the chance of a loss, examples would be Physical, Moral and, Legal types.
3
Q
What is the definition of loss?
A
The reduction or disappearance of economic value.
