MORAL HAZARD

Pronunciation (US):

(GB):

IPA (US):

 Dictionary entry overview: What does moral hazard mean? 

• MORAL HAZARD (noun)
  The noun MORAL HAZARD has 1 sense:

1. (economics) the lack of any incentive to guard against a risk when you are protected against it (as by insurance)

  Familiarity information: MORAL HAZARD used as a noun is very rare.

 Dictionary entry details 

• MORAL HAZARD (noun)

Sense 1

Meaning:

(economics) the lack of any incentive to guard against a risk when you are protected against it (as by insurance)

Classified under:

Nouns denoting stable states of affairs

Context example:

insurance companies are exposed to a moral hazard if the insured party is not honest

Hypernyms ("moral hazard" is a kind of...):

endangerment; hazard; jeopardy; peril; risk (a source of danger; a possibility of incurring loss or misfortune)

Domain category:

economic science; economics; political economy (the branch of social science that deals with the production and distribution and consumption of goods and services and their management)