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In this paper, we present a new method for fuzzy risk analysis based on similarity measures of generalized fuzzy numbers. Firstly, we present a method called the simple center of gravity method (SCGM) to calculate the center-of-gravity (COG) points of generalized fuzzy numbers. Then, we use the SCGM to propose a new method to measure the degree of similarity between generalized fuzzy numbers. The proposed similarity measure uses the SCGM to calculate the COG points of trapezoidal or triangular generalized fuzzy numbers and then to calculate the degree of similarity between generalized fuzzy numbers. We also prove some properties of the proposed similarity measure and use an example to compare the proposed method with the existing similarity measures. The proposed similarity measure can overcome the drawbacks of the existing methods. We also apply the proposed similarity measure to …