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Highly Protected Risk

What Does Highly Protected Risk Mean?

A highly protected risk is an insurance industry term referring to a risk that has been controlled and manage through various measures.

It is, in other words, not the absence of a risk; rather, the risk remains present but has been attenuated in some way.

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Insuranceopedia Explains Highly Protected Risk

Burglary is a risk for any homeowner. However, by taking defensive measures like installing smart surveillance devices, timers to regulate lighting, and dead bolt locks, burglary can be reclassified into a highly protected risk.

Highly protected risks are less risky to insure; therefore, coverage for them is usually sold at a lower premium.

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