Posts Tagged ‘credits’

Operational risk

Wednesday, November 25th, 2009

Operational risk is a catchall category for other things that could go wrong. It includes potentially catastrophic events such as earthquakes, flooding and fire and other more mundane factors such as power, computer or telecommunications failures.

Actuarial risk

Friday, November 20th, 2009

Insurance companies sell policies that pay out in the event of death or disability. The premiums charged on these policies are based on actuarial assumptions about factors such as mortality rates. If those assumptions prove to be incorrect such policies may be loss making.