Risk management is most likely a phrase that you have heard before, perhaps you’ve heard it when discussing your business insurance policy. You may have an understanding of risk management and how it can help your business. This article better explains the concept to give you some ideas on how to implement it within your business.
What is Risk Management?
To put it simply, it is the process of identifying and pro-actively dealing with potential issues that may arise within your business. Some issues are harder to see than others, which is why we have tools available that will help you to dig deeper into your business and identify a whole array of risks.
Types of Risks that you could face?
Regardless of size, all businesses face risks of some sort. There are risks that could affect the operation of your business, such as fires, floods or physical damage. Other risks could be of a more technical nature, concerning the financial, legal, technological or environmental aspects of your business. Risks could derive from the people that you employ or the products and services you supply.
So why is Risk Management important?
First and foremost, the safety of your workforce and the members of public visiting your premises are paramount to every business. If issues are overlooked, you could find yourselves being held liable for damages. As a result, you could incur knock on effects of a tainted brand reputation, leading to further losses of income; as a director or officer you could also be held personally responsible. In this instance, could you recover from such a financial setback?
With premiums set to rise, improving risk management should generate more competitive insurance premiums now by demonstrating to insurers that you are mitigating risk. Longer term, fewer claims should also ensure you benefit from lower premiums.
What action should you take?
No one knows the ins and outs of your business better than you, so be proactive and look in on your business from all angles. Whenever you implement something new to your business, think of all possible outcomes and risks that come with it. Prioritise these risks in line with the probability of them occurring and the loss that could come with it.
How can we help?
At Risk Hub we pride ourselves in the assistance that we can provide for the management of risk in your business. We are experienced professionals, we know what to look out for and have tools and comprehensive audit facilities available to highlight exposures to your business. We even have the use of state of the art 360 degree internal surveys and drone technology which offer a unique insight into your operations. We combine this technology with a review of your insurance to highlight gaps in your cover and help protect your business.
For more information on the Risk Management tools available please see:
Contact a member of the team today to see how we can help your business.