The way to evaluate a risk factor is to analyze the possible benefits and risks [B]. It is important to classify risks once recognized to assess them by its benefits and consequences.
Further explanation:
The risk may occur and damage any activity or action. However, most of what we do has a corresponding danger. People usually take risks if they think there is a benefit or advantage for them. So that in doing the activity and taking action we have to look together at the benefits and risks. To evaluate a risk factor, you should understand its classification;
• Standard risks
Standard risks are an average risk because they are the same as the rates used to be based on. They have the same health, habit, and work features as people whose lives are covered by the mortality table used.
• Preferred risks
Preferred risks are those who have a lower average loss risk. Those are low-risk workers who don't engage in high-risk hobbies (scuba, sky diving, etc.), have a very favorable health history and are currently in excellent physical conditions.
• Substandard risks
Substandard risks are the person who is regarded as under-average or insured persons danger for illness, occupation, residence in unhealthy circumstances, or risky behavior due to physical circumstances, family, or personal history.
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Keywords: risk management, management
Subject: Health
Class: 10-12
Sub-chapter: Risk Management
