Risk Management

Liability, in its broadest definition, refers to the state of being responsible for something, especially in terms of legal or financial obligations. In the context of law and finance, liability...

Independent Experts may refer to individuals or companies that provide specialized services in a particular field or industry. These experts are usually knowledgeable and experienced professionals who are independent of...

Risk Retention may refer to a risk management strategy that involves a party assuming the responsibility for a certain level of risk or losses. This term may also refer to...

Property Damage is a broad term that may refer to any physical damage that has been done to a person's property, whether it be tangible or intangible. Property damage can...

Insurability may refer to the ability of a person or entity to obtain insurance coverage. It generally involves an assessment of the risk associated with the person or entity, and...

Risk Transfer, in a broad sense, may refer to the process of shifting risk from one party to another. Risk transfer is a mechanism used to allocate the risk of...

Naturally Occurring Substances may refer to substances that are found in nature, such as minerals, metals, plants, and animals. These substances are not artificially created or synthetically produced and can...

Know Your Customer (KYC) is a term that may refer to a financial institution's customer due diligence process to verify the identity of its customers. This process is conducted to...

The term Special Investigative Unit (SIU) may refer to a number of different investigative entities, ranging from government agencies to private companies. In the most general sense, an SIU is...

Underwriting Risk may refer to the likelihood of an insurance company suffering a financial loss due to their underwriting activities. Underwriting Risk is the risk that an insurance company will...

A subsidiary, in the context of business and insurance, refers to a company that is owned either wholly or partially by another corporation, known as the parent company. The definition...

Special Perils in insurance terminology refers to a set of specific risks or hazards that an insurance policy covers. The definition of 'Special Perils' typically includes extraordinary or less common...

Mill construction is a term used to refer to the construction of buildings that are used in various industrial contexts, such as saw mills, paper mills, and flour mills. The...

Non-admitted Insurer, also known as a surplus lines insurer, is an insurance company that is not licensed or admitted in the state where coverage is purchased. Non-admitted insurers are not...

When delving into the intricate dynamics of the corporate world, the phrase "Uncertainty in Business" may refer to the unpredictable factors and potential variations that can impact the operations, outcomes,...

Hardware or Equipment Betterment is an insurance term that may refer to the process of improving the quality of a piece of hardware or equipment beyond its original state. It...

Startup Risks is a term that may refer to the various risks associated with starting up a business. These risks may include financial, operational, legal, and personnel risks, among others.

Licensed and Insured may refer to any individual or business that has been granted a license to operate or conduct business legally and has purchased insurance to protect against potential...

In the realm of forensic accounting and fraud examination, the term "Fraud Triangle" may refer to a conceptual model that outlines the three critical factors believed to be present for...

The definition of Probable Maximum Loss (PML) refers to the estimated maximum loss that an insured property or asset is likely to incur in the event of a worst-case scenario....

Line of business, in the realm of commercial insurance, refers to a specific category or type of insurance coverage that is offered to businesses or individuals within a particular industry...

An insurance audit, in the realm of commercial insurance, refers to a process conducted by an insurance company to verify the accuracy and adequacy of the information provided by a...

Spread of risk is a term used to describe how insurance companies minimize their risks by writing policies for many different policyholders. Spreading risk generally means offering insurance in multiple...

 "Stacking insurance" refers to a practice in which an insured individual or business combines or accumulates coverage from multiple insurance policies to increase their total coverage limits or potential benefits....

Risk sharing, a fundamental concept in insurance and risk management, refers to the practice of distributing or transferring the financial impact of potential losses among various parties. The definition of...

Moral hazard, a crucial concept in the insurance and economic realms, refers to the change in behavior of an individual or entity due to the presence of insurance coverage, leading...

Associate in Risk Management (ARM) is a professional designation for individuals in the insurance and risk management industry. The definition of Associate in Risk Management refers to a certification program...

Asset risk, a vital concept in the realm of finance and insurance, refers to the potential for financial loss or unfavorable fluctuations in the value of assets held by an...

Morale hazard, a term frequently used in the insurance industry, is closely associated with the behavior and attitude of policyholders towards risk. The definition of morale hazard refers to a...

An organizational risk may refer to the potential losses an organization may experience due to an adverse event or activity. The probability of a particular event or activity occurring could...

A loss triangle is a way to analyze and predict losses over a given period, typically by tracking the frequency and severity of claims. Loss triangles are used during a...

Like most markets, the insurance market is cyclical, and a hard market is the upswing of this cycle. Insurance premiums often increase, capacity decreases, and coverage terms are restricted. Insurers...

Risk reduction refers to identifying and implementing measures to reduce the chances of damage from a particular activity or situation. This can involve identifying potential hazards, implementing safety measures, and...