What is Moral Hazard? | LIFE-HEALTH-INSURANCE, PROPERTY-CASUALTY-INSURANCE Exam Prep

Moral hazard is an increased risk of loss due to dishonesty or character defects of the insured, such as intentionally causing damage to collect insurance proceeds or filing fraudulent claims. 📚 Learn more about Moral Hazard and other key terms for your LIFE-HEALTH-INSURANCE, PROPERTY-CASUALTY-INSURANCE exam at Open Exam Prep. 🎯 This term appears on: LIFE-HEALTH-INSURANCE, PROPERTY-CASUALTY-INSURANCE 🔗 Full glossary: https://www.open-exam-prep.com/glossary 🔗 Moral Hazard definition: https://www.open-exam-prep.com/glossary/moral-hazard 💡 Exam Tip: Moral hazard = DISHONESTY/fraud (intentional). Morale hazard = CARELESSNESS (unintentional). Both increase risk. Insurers use deductibles and coinsurance to combat both. --- #insurance #examprep #financeexam #life-health-insurance #property-casualty-insurance