Ch 9: Insurance Solutions in Risk Management

About This Chapter

In this chapter, you'll review common insurance solutions that are used in the world of risk management. The chapter's lessons and quizzes can function as effective test preparation resources, independent learning materials, tutoring solutions, textbook supplements and more.

Insurance Solutions in Risk Management - Chapter Summary

This chapter is all about risk management insurance solutions. Follow along with our expert instructors to see which insurance coverage options are offered for different risk types. As you work through the chapter, you'll also compare insurance policies, risk management strategies and the concept of maximum probable annual loss. The chapter's flexible online format makes it easy to review these topics whenever you have free time in your schedule. Use any computer or mobile device to access the materials, and be sure to take the accompanying self-assessment quizzes to reinforce your understanding of the information. By the end of the chapter, you should be able to:

  • Understand risk management and insurance policies
  • Compare insurance coverage options for various types of risk
  • Differentiate between insurable and uninsurable risk
  • Define risk and return insurance
  • Recognize effective strategies for risk management
  • Explain the applications of maximum probable annual loss (MPAL)

6 Lessons in Chapter 9: Insurance Solutions in Risk Management
Test your knowledge with a 30-question chapter practice test
Risk and Return in Insurance & Risk Management Strategies

1. Risk and Return in Insurance & Risk Management Strategies

In this lesson, we'll define risk and return as it relates to the insurance industry, and you'll understand the correlation between the two. We'll also explore three risk management strategies and give examples of each.

Ways to Manage Risk: Insurable and Uninsurable Risk

2. Ways to Manage Risk: Insurable and Uninsurable Risk

Risks abound in life and in business. However, most risks can be managed. In this lesson, you'll learn about ways to manage risks. You'll also learn the difference between insurable and uninsurable risks. A short quiz follows.

Understanding Insurance Policies and Risk Management

3. Understanding Insurance Policies and Risk Management

Obtaining insurance is one of the most common methods of risk management. In this lesson, you'll learn about insurance policies and some key concepts related to insurance. You'll also have a chance to take a short quiz.

Insurance Coverage for Various Types of Risk

4. Insurance Coverage for Various Types of Risk

Businesses operate in a world of risk. One of the best ways to manage risk is through insurance. In this lesson, you'll learn about the types of insurance coverage available to businesses to help them manage their risks.

Maximum Probable Annual Loss (MPAL): Definition & Applications

5. Maximum Probable Annual Loss (MPAL): Definition & Applications

In this lesson, we'll define maximum probable annual loss. You'll learn about how underwriters use MPAL and other factors to calculate insurance premiums. Then, we'll explore the steps in calculating MPAL.

Catastrophe Bonds: History & Uses

6. Catastrophe Bonds: History & Uses

This lesson first defines catastrophe bonds. Then we'll go over a brief history of these securities before discussing the fundamentals of how they are used for risk management purposes.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
Not Taken
Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
Not Taken

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