Which type of risk is directly associated with human actions or negligence?

Physical risk is directly associated with human actions or negligence because it relates to the potential for injury or damage to individuals, property, or the environment resulting from unsafe practices, accidents, or neglect. This type of risk encompasses scenarios where physical harm can occur—not just from intentional actions, but also from oversight and carelessness.

For example, if someone fails to maintain equipment leading to an accident, that is a physical risk linked to human error. This focus on the tangible impact of actions makes physical risk a crucial point for safety and liability considerations in various fields, such as construction, healthcare, or everyday activities.

In contrast, economic risk involves financial uncertainty that may arise from market fluctuations or investment decisions, political risk pertains to the stability of governmental systems and policies impacting business operations, and social risk involves the impact of social trends and behaviors on an entity. These types of risk do not directly result from human actions or negligence in a physical context, which is why they differ fundamentally from physical risk.