Understanding Risk and the Fundamentals Behind Insurance
Introduction to RiskAn introduction to the concept of risk, the types of risk and how we manage those various risks through financial planning.Ways Of Managing Ri...
Averse to Risk? Most of us Are
[R]isk aversion is a trait common to most individuals. This is why we buy insurance. Most people must be compensated for accepting additional risk. This is wh...
How Much Does Risk Cost? It’s too Expensive to Ignore
[R]isk is expensive. Most people are risk averse. Both people and companies must be compensated in some way for accepting more risk. This is why individuals with p...
What are the Steps in Managing Risk?
[W]ith financial planning our goal is to minimize the cost of risk. Our primary tool in minimizing this cost is insurance, which transfers risk in exchange for payment (...
Ways of Managing Risk
[T]here are four main ways to manage risk: risk avoidance, risk transfer, risk reduction and risk retention. Each is applicable under different circumstances. Some ways o...
Introduction to Risk
[R]isk is uncertainty. Risk is the variability around an expected outcome. The larger the variability, the higher the uncertainty, the larger the risk. Risk is per...
What is Insolvency Risk & Why Does it Matter?
[I]nsolvency risk refers to the possibility that an insurance company is unable to meet its financial obligations. This possibility emphasizes the importance of insurer r...
Indemnity vs. Non-Indemnity, What’s the Difference?
[I]nsurance can be broken down into two groups, indemnity and non-indemnity. For example, property insurance is indemnity insurance while life insurance is non-inde...
Does Insurance Seem Confusing? Learn the Concepts
Understanding Risk Risk is uncertainty. Risk is the variability around an expected outcome. The larger the variability, the higher the uncertainty, the larger the risk....
Introduction to Insurance
[I]nsurance is a very broad and complex topic, but in essence, a simple concept. Insurance is about the management of risk. When buying insurance, we're paying to c...