Define risk management (auto insurance)?

Question

Define risk management (auto insurance)?

Answer 1

The process of avoiding, eliminating, transferring or reducing the consequences of a loss. Insurance is just  one element of risk mgt. You could choose to buy a vehicle tracker...this will reduce the risk of the car being stolen and not being recovered.

A site I've recommended in the past would be...

http://www.surveyland.org/jump.php?link=...

Hope that helps.

Answer 2

Risk management is a structured approach to managing uncertainty related to a threat, a sequence of human activities including: risk assessment, strategies development to manage it, and mitigation of risk using managerial resources.

The strategies include transferring the risk to another party, avoiding the risk, reducing the negative effect of the risk, and accepting some or all of the consequences of a particular risk.

Some traditional risk managements are focused on risks stemming from physical or legal causes (e.g. natural disasters or fires, accidents, death and lawsuits). Financial risk management, on the other hand, focuses on risks that can be managed using traded financial instruments.

The objective of risk management is to reduce different risks related to a preselected domain to the level accepted by society. It may refer to numerous types of threats caused by environment, technology, humans, organizations and politics. On the other hand it involves all means available for humans, or in particular, for a risk management entity (person, staff, organization).