Risks for which it is relatively easy to get insurance and that meet certain criteria. These include being definable, accidental in nature, and part of a group of similar risks large enough to make losses predictable. The insurance company also must be able to come up with a reasonable price for the insurance.

"Insurable Risk" In Context

"In terms of proactive risk management, businesses need to do their due diligence, understand the legal and regulatory framework, develop procedures and explore insurable risk. We are seeing rapid growth in companies developing breach response plans."