FT MarketWatch

Moral hazard

The Risk that the presence of a Contract will affect on the behavior of one or more parties. The classic example is in the Insurance industry, where Coverage against a loss might increase the risk-taking behavior of the Insured.

Related Terms: 10 Class, Coverage, Contract, Cover, Insurance, Insured, Industry, Inc., Risk, SIC
Other Related Pages: Category: Insurance Starting With: M
Semi Related Terms: 462 CLICK HERE TO VIEW
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