insurance peril and risk

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Peril & Risk Peril: Peril is defined as the cause of loss or with hazard which is a condition that may increase the chance of loss Example: Fareast Islami Life Insurance Company Ltd. Issued 10000 life insurance policies that were short term policies and contracted that if the assured died in war , the company would pay insurance amount .767 assureds died in war . Here war is a peril because it is the cause of death that may increase the chance of loss.
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Continue…………………… Risk: Risk is uncertainty of a financial loss . Risk must not be confused with loss itself with is the unintentional decline in or disappearance of value arising from a contingency. Wherever there is uncertainty with respect to a probable loss there is a risk.
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Continue………………... Life Risk: Human life is exposed of several risks e.g. old ,
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