What is risk? What compels most of us to avoid it while others run straight into the fire? Is risk a necessary component of progress? And more importantly, can risk ever really be eliminated? If so, how?
In the insurance industry, risk is all about math. Premiums are based on complicated actuarial tables, the cost of medical care, survival rates, the demographics and mix of participants, and so on. Similarly, in times of war, military leaders also rely on statistical analysis to assess risk. Continue reading