Risk, Risk Management and Insurance: Why Agents Are NOT Risk Managers

Description

“Risk” is not our enemy. In fact, risk is necessary for a society to survive and prosper. To prepare for the risks inherent in everything we do, we must understand the concept of risk, learn how to measure risk and be prepared to manage it.

“Risk management” and “Insurance” are not synonymous. Risk management is a process combining methods for reducing or avoiding an undesirable event. Insurance is only one tool used in risk management that combines the concepts of risk transfer and risk sharing.

Students attending this class learn:

• How to define risk;
• What is “at risk;”
• The seven-step risk management process;
• How to measure risk
• Where insurance fits into the risk management process
• The elements of an insurable risk; and
• Key theories applicable insurance.