Intro to Insurance: Countering Risky Business
We’ve introduced the role that risk plays in your investments and how your level of risk tolerance will affect decisions regarding what you choose to add to your financial portfolio. Another element of your overall financial strategy—and one that directly addresses elements of risk—is insurance. There are many types of insurance products available and each of them addresses elements of risk in its own way.
When considering risk for insurance purposes, we need to define it within that context. Risk, as viewed by insurers, represents the chance of some type of loss or the possibility of a loss. It also represents uncertainty regarding what the future may bring. Risk, in the context of ...
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