What characterizes a hazard that is frequent or likely to result in a catastrophic loss?

A hazard characterized as having extreme risk is associated with a high likelihood of causing catastrophic loss or significant damage. This classification reflects both the frequency of occurrence and the potential severity of the consequence if the event were to occur. In contexts such as safety assessments, disaster preparedness, or risk management, identifying a hazard as "extreme risk" indicates that it demands urgent and robust mitigation strategies due to the serious implications it holds for human safety, property, and the environment.

In contrast, other classifications such as high, moderate, or low risk denote varying levels of likelihood and impact, where high risk may still involve serious consequences but may not meet the threshold for extreme risk defined by catastrophic potential. Moderate and low risks involve less likelihood or less severe outcomes, making them relatively less urgent in comparison. Therefore, the distinction of "extreme risk" underscores the critical attention and proactive measures required to manage such hazards effectively.