Risk Transfer refers to the transferring the burden of loss to another party. This can be done through legislation, contract, insurance or any other means. It can also involve transfer of any kind of risk.
There are lots of definitions to the terminology “Risk Transfer”.
The reason behind this action is to take a particular risk which has the insurance contract and pass it on from one party who does not wish to continue having this risk (the insured) to a party who is willing to accept on the risk for a fee, or premium (the insurer).
Let us now take an example to illustrate the risk transfer scenario. For instance, someone has purchased home insurance in the hope of owning a house. Unfortunately, there occurs an event that causes property damage such as fire or natural disaster. The insurance company in this case will take up the consequences that result from the damage.
Risk Transfer is an ongoing requirement that is always included in the insurance contract even today irrespective of the intricacy and complexity of the insurance instruments in today’s financial market.
Risk Transfer is accomplished via insurance and contracts. There are several layers of protection such as insured status, contracts, and insurance certificates to help protect one’s assets.
Efficient Risk Transfer benefits all the involved parties. An efficient risk transfer strategy involves the following five areas:
Insurance Certificates
• Require insurance certificates from various parties.
• Determine suitable insurance limits.
• Conduct regular annual review of certificates.
• Enforce requirements of insurance certificates.
• Create a filing system that enables annual review of insurance certificates.
Additional Insured status
• Ask for additional insured...
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...e cloud provider. This problem may be increased if the when there is multiple transfers of data involve in between federal clouds.
Insecure or incomplete data deletion:
When a request to delete a cloud is made, it is possible that the data is not fully wiped out. Timely deletion of data might also not be possible as extra copies of data might not be available. Also, the disk that saves the data might have already been destroyed. In case of reuse of resources, it might pose a greater height.
Malicious Insider:
While less likely, the damage caused by a malicious insider is much more serious.
Customers Security Expectations:
Customer’s perception of the security levels might be actually different from the security levels defined by the cloud provider.
Availability Chain:
Relying on the Internet connection at the customer’s end might create a single point of failure.
A property risk is something that happens to your property. A liability risk is if something happens to you but it is not your fault. An example of personal risk is if you are an athlete and that is how you make your living it would be wise to incer the body part you use the most just in case you injure that part. If you are a runner you will likely incur your legs so if you break them and can no longer run you will get them paid for because you can no longer run. An example of property insurance is if something like an earthquake were to happen you will be insured in the event that your house falls apart. An example of liability risk is if you are driving you car on the street and you get hit by a drunk driver or something where it is not your fault but there is damage
People purchase insurance policies to help protect themselves and their property in the event of a catastrophe of loss. If a catastrophe or loss occurs, the person who owns the insurance policy will submit a claim. The person submitting the claim is called a claimant and a claim is basically requesting for the insurance company to reimburse them for their loss. A claims adjuster works with the claims that people file in those situations (Bureau of Labor Statistics 1).
The basic concept of insurance is the transfer of risk from one entity to another through certain conditions. Health insurance is no different, only the entities mentioned are consumer or the patient and the insurance company. In the health insurance concept, a premium is paid by the individual to the company for a year and the insurance company has to pay for the cost of healthcare for that individual. Hence the risk for the consumer is transferred to the insurance company.
The transferor gives the transferee an entire or a restricted amount of recourse in the transfer of a full receivable, a class of a full receivable, or a small amount of the full receivable with recourse. The transferor is obliged under the full agreement of the recourse provision to pay the transferee or to just rebuy the receivables bought under convinced circumstances. Ideally this is for defaults that are at a percentage of the amount specified.
The cloud storage services are important as it provides a lot of benefits to the healthcare industry. The healthcare data is often doubling each and every year and consequently this means that the industry has to invest in hardware equipment tweak databases as well as servers that are required to store large amounts of data (Blobel, 19). It is imperative to understand that with a properly implemented a cloud storage system, and hospitals can be able to establish a network that can process tasks quickly with...
Risk management purpose is to prevent and reduce the frequency and severity of potential losses. Loss prevention programs promote avoidance of losses, measuring the loss frequency. Some examples are safety programs implemented to prevent workplace injuries, fire detectors, burglar alarms, and other protective devices to prevent losses caused by fire and theft. Insurance companies offer discounts to organization or individuals taking loss prevention measures as incentive for their participation.
The insurance industry needed a vehicle to transfer billions of dollars of catastrophe risk to an entity capable enough to manage it. The only entity able to cope with these large risk...
With danger and such speed also comes more losses for the insurance firms. With loss increase and such danger, their yield and charge must subsequently raise more for auto insurance
Risk management is a process used in all industries to reduce the risk. The Risk management tool usage changes from sector to sector and hence each sector has developed their own risk management tools and methodologies to mitigate the risk. But the concept remains the same behind all the tools (Ropel, 2011). The main steps for risk management irrespective of the sector are:
Therefore, insurance companies need to adapt to these new innovations in order to support increasing demands and expectations from their customers. The threat of new insurers who have taken advantage of Insuretech has forced big players to quickly revise and adjust their current business model to digital solutions. This new Insuretech trend allows insurance companies to use technology in way to acquire new
Risk taking is considered an everyday staple of life and a major part of growing up. When we limit the risks we take in our lives we also limit the capabilities those risks present, such as encountering new experiences and situations that improve us as human beings. Risk taking is imperative to personal growth and when discussed in good context it seems harmless, however that is only a half truth. To say risk taking is always safe is completely incorrect and sometimes these risks are often unsafe and not thought out. This essay addresses the following question, why do teenagers engage in this form of unhealthy risk taking? I will also be discussing whether or not certain groups are more at risk and any known strategies to make teenagers aware
Transference means to attempts to shift the risk to other assets, other processes, or other organizations.
The consumer can use the middleman’s equipment to develop his own program and deliver it to the users through internet and servers.
By recognizing and managing risk, I save myself and my family from a possible financial failure. A risk management will allow me to live a life free of worrying about how to handle a sudden loss.
To understand why people who are at risk and not insured against it, it is important to understand how insurance works. Insurance is made to reduce risks by the purchaser paying a certain amount of money called a premium collected by the insurer. The premium is calculated by the insurer based on the probability of the occurrence of the event, the amount losses of the event and additional administration charges. The insurer collects the premiums and set up a pool of capital which is used to pay the unfortunates as coverage. Therefore it reduces the potential risk to a certain (or near) amount of losses that the purchaser paid as premium. Hence it explains why insurance is favorable to most people because most people are risk- adverse, so they are willing to pay small amount money to reduce the potential risk of large losses.