Risk Pool

B2 16+

Pronunciation: /rɪsk pul/

Definitions of risk pool

noun a financial arrangement where insurance companies combine their resources to cover a large number of policyholders

Example Sentences

A1 A risk pool is a group of people who share the financial risk of healthcare expenses.

A2 In some countries, individuals can join a risk pool to help cover unexpected medical costs.

B1 Insurance companies often use risk pools to spread the financial risk of covering high-cost individuals.

B2 Actuaries analyze data to determine the appropriate premiums for individuals in a risk pool.

C1 The concept of risk pooling is essential in creating a sustainable healthcare system.

C2 Government policies can influence the effectiveness of risk pools in managing healthcare costs.

Examples of risk pool in a Sentence

formal The insurance company uses a risk pool to spread the financial risk of covering high-cost individuals.

informal The risk pool helps insurance companies cover the costs of people with expensive medical needs.

slang The risk pool is like a safety net for insurance companies to handle expensive claims.

figurative Think of a risk pool as a way for insurance companies to share the burden of covering costly medical treatments.

Grammatical Forms of risk pool

plural

risk pools

present tense

risk pool

future tense

will risk pool

perfect tense

have risk pooled

continuous tense

is risk pooling

singular

risk pool

positive degree

risk pool

infinitive

to risk pool

gerund

risk pooling

participle

risk pooled

Origin and Evolution of risk pool

First Known Use: 1700 year
Language of Origin: English
Story behind the word: The term 'risk pool' originated from the insurance industry, specifically in the context of spreading the risk of potential losses among a group of policyholders.
Evolution of the word: Initially, 'risk pool' referred to the practice of pooling resources to collectively cover potential losses in insurance. Over time, the term has expanded to other industries and contexts where risks are shared among a group for mutual benefit.