Conditions that increase the chance of loss are known as what?

The correct designation for conditions that increase the chance of loss is referred to as hazards. Hazards serve as factors that can elevate the likelihood or severity of loss incidents. These can include various aspects such as environmental conditions, safety practices, or specific behaviors that might contribute to a higher risk of accidents or damage.

In the context of property and casualty insurance, understanding hazards is vital for evaluating risk and determining appropriate insurance coverage. Hazards can be classified into several types, including physical hazards (like icy roads), moral hazards (such as dishonest behavior), and morale hazards (resulting from carelessness). Each type highlights different elements that can exacerbate the potential for loss, guiding insurers in their underwriting decisions and premium calculations.

Other terms like risks, losses, and liabilities, while related to the realm of insurance and finance, do not fit the definition provided in the question as precisely as hazards do. Risks refer to the possibility of a loss occurring, losses denote the actual financial detriment suffered, and liabilities are obligations that arise from assessed risks or losses. Thus, the term hazards distinctly captures the concept of increasing the chances of loss.