1. Uncertainty of natural risks: Natural risks refer to risks that threaten social production and social life due to irregular changes in natural forces.

Natural phenomena such as earthquakes, wind disasters, fires, and various plagues occur frequently and in large numbers. Among various types of risks, natural risks are the most insured by insurers.

The characteristics of natural risks are:

(1) The uncontrollability of natural risks

(2) The periodicity of natural risks

(3) The highly contiguous nature of the consequences caused by natural risk accidents means that once a natural risk accident occurs, it often involves a wide range of objects.

2. Social risk uncertainty: Social risk refers to the risk of losses to social production and people's lives due to the behavior (including negligent behavior, improper behavior and intentional behavior) or inaction of individuals or groups.

Behaviors such as theft, robbery, dereliction of duty and vandalism may cause damage to other people's property or personal injury.

3. Political risk uncertainty: Political risk refers to the risk that creditors may suffer losses due to political reasons or reasons beyond the control of both parties during the process of foreign investment and trade.

For example, the import of goods is suspended due to war or civil strife in the importing country; due to the import or foreign exchange controls imposed by the importing country, etc.

4. Economic risk uncertainty: Economic risk refers to the impact of changes in various market supply and demand relations, economic and trade conditions and other factors or operator decision-making errors in production and sales and other business activities. Risks such as deviations in prospect expectations leading to business failure. For example, the increase or decrease in the production scale of an enterprise, the rise and fall of prices, and the profit and loss of operations, etc.

5. Technical risk uncertainty: Technical risk refers to the risks that threaten people's production and life along with the development of science and technology and changes in production methods. Such as nuclear radiation, air pollution and noise, etc.

Extended information:

The nature of risk: objectivity, contingency, damage, uncertainty, relativity (or variability), universality, and sociality.

1. Contingency

Due to information asymmetry, it is difficult to predict whether future risk events will occur.

2. Relativity

The nature of risks will change due to changes in various factors in time and space.

3. Sociality

The correlation between the consequences of risks and human society determines the sociality of risks, which has a great social impact.

4. Objectivity

Risk is an objective existence that is independent of human will and independent of human consciousness. Because both the material movement in nature and the laws of social development are determined by internal factors of things and by objective laws that exceed people's subjective consciousness.

5. Uncertainty

Uncertainty in the time of occurrence. Overall, some risks are bound to occur, but when they will occur is indeed uncertain. For example, among life risks, death is bound to happen, which is an inevitable phenomenon in life. However, it is impossible to determine when a certain person will die when he is healthy.

Baidu Encyclopedia—Risk