Believe it or not, but we all take risks. We take a risk every time we drive, go to the store, or eat dinner at a restaurant. When we drive, there is a risk of an accident. When we go to the store, there is a risk that we could slip and fall on spilled milk in isle 8. At a restaurant, there is a risk of eating contaminated food and getting sick.
Some risks are bigger than others. Football, skiing, snowmobiling, ski diving, and racing are all risky activities. Men are responsible for 68% of all injuries, while women only 32%. Young people under the age of 24 account for a third of all injuries. Unfortunately, for me, these statistics ring true for me, but that’s another story.
Insurance companies make money by discriminating people based on age, sex, and past medical history to account for the likelihood of accidents, medical procedures, or injury. Financial companies charge people more money for loans if they are deemed more likely to default on a loan. The bigger the risk, bigger the potential reward or loss. Millions of dollars are invested in “venture capital” projects that could either fail or make a ton of money.
Risk is big business… I guess you can say a risky business.
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