Risk Management Strategies For Your Business
Risk management is the identification, assessment and prioritization of risks and the subsequent coordinated and economical application of resources to minimize, monitor and control the probability and impact of losses. Effective risk management strategies create value and should be an integral part of every business decision-making process and are best achieved with the support risk management professionals.
Risk Management Strategies Can Improve Your Bottom Line!
- Good risk management strategies result in better pricing on insurance premiums
- Effective risk management strategies reduce out-of-pocket costs like deductibles
- Risk management strategies can produce a safe and stable environment for employees, volunteers and customers
- Well thought out risk management strategies helps you understand and be prepared for risks before losses occur
4 Risk Management Strategies For Addressing An Identified Risk:
1. Risk Avoidance: Can you eliminate a service or activity considered too risky?
- Eliminate activities that involve risk
- Avoid creating activities that involve risk
2. Mitigation or Prevention: What steps can be taken to reduce the likelihood of losses if they occur?
- Manage liability by structuring activities and programs in ways that reduce or limit institutional risk.
3. Risk Transfer: Can we transfer either the risk or financial consequences of a loss to another party?
- Insurance policies
- Indemnification agreements
- Releases and waivers
4. Risk Retention: Accept the risk as it is –some risk is inherent in the activities of the operation.
- Self-insurance
- Deductibles
- Deciding not to purchase an insurance policy for a specific exposure
To learn more about the above risk management strategies or for other resources to help you build an effective risk management program for organization connect with an ALIGNED Insurance Advocate today at www.alignedinsuranceinc.com
More about ALIGNED Insurance:
ALIGNED is a premiere insurance brokerage that was exclusively and uniquely built to create, negotiate and deliver the best business insurance and risk management strategies/solutions to small, medium and large organizations across all industries. ALIGNED’s primary mission is to protect the cash flow, profitability and balance sheets of their clients from the chance of unforeseeable losses.
Through our game changing 0% Commission Model and our other 17 points of differentiation we deliver unmatched value to our growing portfolio of clients from all industries that range from small to large organizations.
