Which type of risk is characterized by situations that can only result in a loss or no change?

The correct choice is pure risk, which is defined as a type of risk that presents only the possibility of loss or no change in a situation. Unlike speculative risk, which involves scenarios where there is the potential for both profit and loss, pure risk does not offer any opportunity for gain. Examples of pure risk include events such as theft, fire, natural disasters, or liability claims.

In pure risks, the outcomes are limited strictly to negative impacts, making them crucial considerations in personal lines insurance where individuals seek to mitigate potential financial losses. Insurers generally cover pure risks because they can be calculated and managed, allowing for the creation of policies to protect individuals against these kinds of losses.

Other types of risk mentioned, such as operational risk, pertain more to inefficiencies or failures within an organization rather than the straightforward potential for loss associated with pure risk. Variable risk is not a commonly recognized category in risk management, making pure risk the most appropriate answer in this context.