The goal of risk management is to create an approach which is structured when it comes to handling uncertainty, especially those which are related to threats.
At Singhal Investments, we emphasize on Financial Risk management. Financial risk planning places a heavy emphasis on protecting the financial assets and resources of an individual or an organization. Financial risks will generally be managed through the usage of various financial instruments based on what the need is.
Insurance is a basic form of risk management which provides protection against possible loss to life or physical assets. Insurance enables us to live our lives to the fullest, without worrying about the financial impact of events that could hamper it. In other words, insurance protects us from the contingencies that could affect us.
So what are the risks that we run? To name a few - the risk on our lives (ie the worries of replacement of the incomes that we contribute to the running of the household), the risks of medical contingencies (since they have the capability of throwing plans of a financial nature off guard) and risks on assets (since the replacement of those has tremendous financial implications at times). If we were to consider a situation where any of our goals in life were to be disturbed by acts beyond our control, we would realize the relevance of insurance in our lives.
So, as a matter of practice, always consider the risks that surround us, and then insure yourself against those risks. There is no risk not worth insuring yourself against, and insurance should first and foremost be looked as a measure to guard against the risks - the risks of your dreams going awry due to events beyond your control. At The Financial Mall, the endeavor is to always design a risk management plan which is structured and systematic and the aim is to be both transparent and inclusive at all times.