Life Insurance Business

Athird classification is between Dynamic and Static risks. synamic risks

are causued by perils which have national conceuence, like inflation,

calamities, technolgy,political upheavals,etc. static risks are caused by

perils which have no consequence on the national economy, like a fire or

theft or misappropriation. Dynamic risks are less likely to occur then static

risks, but are also less predictable.. static risks are more duited to

manageent through insurance

fundamental risks are those thet affect large populations while

particular risks affect only specific persons. atrain crash is a fundamental

risk while a theft is a particular risk. life insurance business deals eith

particular risks, but fundamental risks affect the life insurace company's

experience,as many personas will be affected at the same time,when there

is an. earthquake, flood or riot.