Understanding Risk and Identity Theft

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What is risk?

Back

The potential of losing something of value.

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What is a safety risk?

Back

A hazard with a potential source of harm or adverse health effect on a person or persons, which can be limited with self-protection tactics.

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What is a health risk?

Back

Something that could cause harm to people’s health and can be affected by age, habits, and lifestyle.

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What is financial risk?

Back

The possibility of loss of assets, earning potential, or both.

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What are the four ways to manage risk?

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Risk avoidance, risk transfer, risk reduction, and risk retention.

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What is insurance?

Back

A social device providing financial compensation for the effects of misfortune, protecting individuals against possible financial losses.

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What is a premium in insurance terms?

Back

The periodical bill a policyholder pays to keep coverage in effect.

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What is a deductible in insurance terms?

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The fixed amount of costs a policyholder is responsible for paying before insurance coverage starts picking up the bill.

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What is identity theft?

Back

Unauthorized use of someone’s personal identifying information to commit fraud or other crimes.

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Where is the official place to report identity theft?

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The Federal Trade Commission (FTC).