- Subject: Management
- Fees: $100
- CPD: 3 Hours
- Prerequisites: Basic Accounting
- Advance preparation: None
- Course Level: Intermediate
- Delivery Method: E-Learning
- Language: English
Course description
This course is designed to provide an understanding of risk management.
Learning objectives
Risk and its Treatment
- Explain the historical definition of risk
- Explain the meaning of loss exposure
- Understand the following types of risk
- Identify the major pure risks that are associated with great economic insecurity
- Show how risk is a burden to society.
- Explain the major techniques for managing risk
Risk Management
- Define risk management
- Explain the objectives of risk management
- List and describe the steps in the risk management process and understand the major methods of treating loss exposures.
- Discuss the major benefits of a risk management program
- Apply the principles of risk management to a personal risk management program.
Insurance and Risk
- Define insurance based on the definition drafted by the Commission on Insurance Terminology
- Explain the basic characteristics of insurance based on the aforementioned definition
- Explain the law of large numbers.
- Describe the characteristics of an ideally insurable risk from the viewpoint of a private insurer.
- Explain whether fire and unemployment meet the requirements of an insurable risk.
- Understand how adverse selection can lead to higher-than-expected losses and unprofitable business for insurers.
- Explain the methods insurers use to control adverse selection.
- Show how insurance is not the same thing as gambling.
- Understand how insurance differs from hedging as a technique for treating risk.
- Explain the social and economic benefits of insurance to society.
- Explain the costs of insurance to society.
Assessment
This course is delivered in the Moodle Learning Management System (MLS), with access for a duration of 90 days from the date of enrollment. Instructional materials, including voice-over PowerPoint presentations, videos, and additional reading materials, are provided throughout the course.
Attendance/Participation — Full attendance is required to complete the E-Learning Activities course. Participation in ‘Thinking Break’ activities and exams serves as the elements for attendance. Each PowerPoint slide is set with a minimum viewing time before students can advance to the next slide. At each subsection of the slides, students are required to engage in ‘Thinking Break’ activities before proceeding to the next subsection. After completing all reading and viewing assignments, students must attain at least a grade of 70% on the exams to successfully complete the E-Learning course.
