It can be either pure or speculative in nature. Here, the risk environment is in a steady state. For example, the probability of a person dying is 100 percent—the risk of death always exists. Static...

It can be either pure or speculative in nature. Here, the risk environment is in a steady state. For example, the probability of a person dying is 100 percent—the risk of death always exists. Static risks may include theft, accidents, and natural events, such as storms that could cause loss.