moral hazard
noun
Insurance.
an insurance company's risk as to the insured's trustworthiness and honesty.
the risk that an individual or organization will act irresponsibly or recklessly if protected or exempt from the consequences of an action.
Origin of moral hazard
First recorded in 1915–20
Words nearby moral hazard
moraea,
moraga,
moraine,
moral,
moral compass,
moral hazard,
moral majority,
moral philosophy,
moral re-armament,
moral rearmament,
moral sense
British Dictionary definitions for moral hazard
moral hazard
noun
insurance
a risk incurred by an insurance company with respect to the possible lack of honesty or prudence among policyholders