In business economics, risk financing is concerned with providing funds to cover the financial effect of unexpected losses experienced by a firm. Traditional forms of finance include risk transfer through reinsurance, funded retention by way of reserves (often called self-insurance), and risk pooling.
In business economics, risk financing is concerned with providing funds to cover the financial effect of unexpected losses experienced by a firm. Traditional forms of finance include risk transfer through reinsurance, funded retention by way of reserves (often called self-insurance), and risk pooling.
Source: Wikipedia "Risk financing" · CC BY-SA 4.0
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