Taking risks is essential to living life to the fullest, but sometimes our risks can cause us severe consequences. How can the savvy, bold consumer manage risk and reward?
Whether you are trying to improve your business savvy or make travel and leisure plans, here are some ways being a risk-taker can bring you high or swing you back down low. From increased chances of adventure to higher chances of injury and high-risk insurance premiums, how can taking risks help and hinder your lifestyle?
The Pros of a Risk-Taking Lifestyle
There are several potential advantages to living unafraid and being willing to take risks. Let’s take a look at some of the pros of risks.
Taking Risks Increase Your Chances of Adventure
It can feel risky to go to an unfamiliar place or to enjoy a frightening new experience, whether that is simply going to a haunted house or hitchhiking abroad. Sometimes, even minor risks such as forgoing scheduled vacation plans and playing your trip by ear can have a massive payoff down the line.
Sometimes people think that risk-taking has to be extreme, but think about all the things such as comfort, familiarity, and certainty that you may be hesitant to risk, especially when on vacation.
For someone, a road trip can feel risky if they’ve never driven far before or if they are unsure of whether they can find enough fun things to do. For another, flying to a country where they don’t speak the language can feel risky.
Either way, taking these kinds of risks can increase your chances of having an unforgettable experience.
Taking Risks Can Help You Meet People
Staying within familiar boundaries and doing familiar things will mean you always remain with a familiar crowd. If you really want to expand your circle of friends and meet new people, you have to be willing to walk off the beaten path.
Put yourself in situations where you may feel awkward. Volunteer, meet people from different cultures and language backgrounds, take on odd jobs, and sacrifice a bit of pride. These sorts of choices will positively affect and affect your ability to meet new people.
Taking risks also helps you meet other adventurous people. If you want to know folks who are willing to do fun things on the spur of the moment or take a risk on you in business or relationships, you’ll need to find out where those kinds of people congregate.
Taking Risks Help You Be Creative
Nothing is more boring — or safer — than the tried-and-true path. Doing what other people do when traveling will let you enjoy the classic, beaten path and tourist-approved sites. Following the route others take in entrepreneurship or personal relationships will make you a steady, if forgettable, business or romantic partner.
Risks, however, take you out of your comfort zone and force you to be creative. When taking risks, you have to come up with new ideas and grab new opportunities.
Because of this, risk-taking lets you make unexpected connections by putting you in unexpected scenarios. You often don’t realize how good two unrelated things can be until you’re in a position to combine them.
When taking risks, you have to be able to think on your feet. Creative people can’t just stay still, metaphorically speaking.
The Cons of a Risk-Taking Lifestyle
Just as there can be benefits to taking risks in various ways, there are also cons. Living riskily can negatively affect your life in a few different ways.
Taking Risks Can Cost You Financially
Whether it’s an unexpected injury, a car accident, or money paid out for exciting venues, risk-taking can harm you not just physically but financially. In business, while you want to take risks, sometimes too many risky investments can cost you so much that you can’t continue.
If your risk-taking behavior leads to an accident where you or someone else is harmed, you could be held liable for the injuries. This would not only take a bite out of your budget in the present but also likely increase your auto insurance premiums in the future.
Those who drink while driving, speed, or commit other traffic violations often need to get SR-22 insurance, which can be much more expensive than regular auto insurance. Don’t allow a desire for risk and fun to lead you to self-destructive behavior.
Unnecessary risk-taking can cost you financially in other ways, too. Sometimes people take a risk simply by avoiding budgeting or living within their means. Impulse purchases and splurges may seem exciting and adventurous, but over time they will gradually eat away at your finances and self-respect.
Taking Risks Can Put You In Danger
Going on road trips can be a great way to enjoy the sights and tastes of your journey without focusing solely on your destination, but they can also be risky for even the most adventurous. You may want to risk your sense of control and certainty while traveling so you can flexibly grab adventurous opportunities. However, you don’t want to forgo planning entirely.
Be prepared for emergencies while on the road or traveling or doing business. While road-tripping, for example, your desire for freedom and thrills shouldn’t lead to speeding, reckless driving, or a lack of attention paid to other drivers.
In business, taking risks is important as it can help your startup grow. But not having proper savings or precautions for economic downturns can lead to your company tanking the moment things turn out badly. Risk-taking should never lead to completely ignoring danger around you.
Taking Risks Can Ruin Relationships
While taking risks can expand your social circle, you must keep your current loved ones in mind. While you might be a risk-taker, you need to respect the needs and wishes of others in your circle who may not be so bold.
Pressuring others to get outside their comfort zone can gradually wear down relationships, especially if you are not respecting boundaries.
Every relationship requires sacrifice and compromise, and sometimes that means cutting back on risk and agreeing to more stable plans and investments. Be willing to carve out time for yourself and for more adventurous fun, but also respect the needs and comfort of others.
In addition, risky behaviors such as gambling, drinking, and financial irresponsibility can devastate personal, romantic, and business relationships. Being a risk-taker doesn’t mean you should ignore the effects your actions have on others.
Sometimes, you may decide a little risk is worth the reward. If you are deciding to do something risky or travel to a dangerous place, be sure to calculate the risks into your planning and preparation.
Deborah Goldberg writes and researches for the auto insurance comparison site, AutoInsuranceEZ.com. She is passionate about consumer safety and health.