e of loss or the severity of loss due to a peril. ??? ??? ??? Legal Hazard The chance of a certain risk ending up in court. ??? ??? ??? Moral Hazard Moral hazards are associated with mental attitudes, behaviors and habits e.g. drug abuse, dishonest claims, alcoholism, smoking, and driving over the speed limit. ??? ??? ??? Physical Hazard Anything that poses a risk and can be seen, heard, touched,