Which of the following is NOT a type of hazard considered in insurance?

The correct answer is that "Human hazard" is not a recognized category of hazard considered in insurance. In the context of insurance terminology, risks and hazards are classified into specific categories that help underwriters assess potential losses.

Moral hazard refers to the risk that an insured person might behave differently or take greater risks because they have insurance coverage. This change in behavior can arise from the feeling of security that insurance provides, leading to actions that could increase the likelihood of a claim.

Physical hazard pertains to tangible, observable factors that increase the risk of loss, such as the condition of a vehicle or the safety measures implemented in a building. These hazards can be evaluated in terms of their physical characteristics and can often be mitigated through risk management practices.

Morale hazard reflects a similar principle to moral hazard but focuses on the state of mind or attitude of the insured person, indicating carelessness or indifference towards loss because of the presence of insurance. This encompasses a general disregard for safety protocols due to feeling protected by coverage.

In summary, human hazard is not a recognized term in the classifications of risks and hazards that insurance professionals use, while the other terms are established categories that highlight different aspects of risk assessment in insurance.