Health · Chapter 13 · Classes of Health Insurance
Limited Risk vs Special Risk Policies
Definition
Limited risk policies cover specific COMMON risks; special risk policies cover unusual hazards typically excluded or ignored by ordinary insurance contracts.
Example
A traveler buying an airport accident policy for one commercial flight = LIMITED risk. A ballet dancer insuring her legs for $1 million, or a test pilot covering his life while flying an experimental plane = SPECIAL risk.
Exam tip
Common exposure, narrow policy → limited. Weird, one-of-a-kind hazard → special.
Easy to confuse with
These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.
Related terms