Define Uncertainty | Meaning, types, risk and uncertainty

Question

What is uncertainty? What do you mean by uncertainty in insurance? Types of uncertainty in Business? What is risk and uncertainty in insurance?

Answer 1

What is uncertainty?

Uncertainty is a state of doubt or lack of certainty/sureness of an event. It applies to predictions of future events.

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Types of uncertainty in Business

In business, there are many uncertainty. Here is a list of few:

• Demand Uncertainty
• Production Uncertainty
• Profit Uncertainty
• Price Uncertainty
• Cost Uncertainty
• Labour Uncertainty
• Capital Uncertainty
• Environmental Uncertainties