The concept of risk criteria depends on the thing to be protected. If it’s your life, your property or your business, the risks are specific for each topic. Risk criteria will always center around the dangers of losing the person or thing you’re in fear of losing.
Types of Risk Criteria for a Life
• Present Level of Physical Health, excellent is preferred
• Past Level of Health
• Mental Health Status, sanity with no suggestion of illness in the past or present is ideal
• The insured’s propensity for participating in dangerous sports like car or motorcycle racing, parachuting, hang gliding, mountain or rock climbing, deep sea diving, abseiling, or buggee jumping, etc.
Risks for Driving
1. Age of the vehicle
2. Years driving
3. Age and gender of the driver
4. Maintaining insurance coverage on the vehicle for consecutive periods
5. Mileage driven daily
6. Driving violations received
Risk criteria is always based on the person, thing, or the activity being protected. The criteria will center around preventing all varieties of potential harm.