Term
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Definition
| THE LIKELIHOOD THAT AN OUTCOME OR EVENT WILL OCCUR |
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Term
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Definition
| UNCERTAINTY OVER THE SIZE OF CASHFLOWS |
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Term
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Definition
| THE RISK THAT CUSTOMERS OR OTHER DEBTORS WILL FAIL TO MAKE PROMISED PAYMENTS |
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Term
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Definition
| THE RISK ASSOCIATED WITH THE LOSS OF PURCHASING POWER BECAUSE OF AN OVERALL INCREASE IN THE ECONOMY'S PRICE LEVEL |
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Term
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Definition
| THE RISK ASSOCIATED WITH OWNING SHARES IN A COMPANY THAT IS CARRYING A RELATIVELY LARGE AMOUNT OF DEBT |
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Term
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Definition
| RISK ASSOCIATED WITH THE FLUCTUATIONS IN PRICES OF FINANCIAL SECURITIES SUCH AS STOCKS AND BONDS |
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Term
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Definition
| PROPERTY DAMAGE, THIRD PARTY LIABILITY, DIRECTORS AND OFFICERS LIABILITY, HEALTH AND SAFETY, NATURAL HAZARDS, TERRORISM, ASBESTOS |
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Term
| OPERATIONAL RISKS INCLUDE: |
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Definition
| PRODUCT RECALL, DISCRIMINATION, EMBEZZLEMENT, WORKPLACE VIOLENCE, KIDNAP, TURNOVER, SERVICE PROVIDER FAILURES, SUPPLIER BUSINESS INTERRUPTIONS |
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Term
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Definition
| DEBT RATING, LIQUIDITY/CASH, ASSET VALUATION, LEGISLATIVE, COMMODITY PRICES, INTEREST RATES, CURRENCY/FOREIGN EXCHANGE RATES, ECONOMIC GROWTH |
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Term
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Definition
| INTELLECTUAL PROPERTY, ETHICS, PLANNING, TECHNOLOGY, UNION RELATIONS, NEW COMPETITORS, MEDIA COVERAGE, INDUSTRY CONSOLIDATIONS, PRODUCT DESIGN |
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Term
| FINANCIAL CONSEQUENCES OF RISK |
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Definition
1 EXPECTED COST OF LOSSES OR GAINS
2 EXPENDITURES ON RISK MANAGEMENT
3 COST OF RESIDUAL UNCERTAINTY |
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Term
| LOSS EXPOSURE'S 3 ELEMENTS |
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Definition
1 AN ASSET EXPOSED TO LOSS
2 CAUSE OF LOSS
3 FINANCIAL CONSEQUENCE OF THAT LOSS |
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Term
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Definition
| A CONDITION THAT INCREASES THE FREQUENCY OR SEVERITY OF A LOSS |
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Term
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Definition
| A CONDITION THAT INCREASES THE LIKELIHOOD THAT A PERSON WILL INTENTIONALLY CAUSE OR EXAGGERATE A LOSS |
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Term
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Definition
| A CONDITION OF CARELESSNESS OR INDIFFERENCE THAT INCREASES THE FREQUENCY OR SEVERITY OF A LOSS |
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Term
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Definition
| TANGIBLE CHARACTERISTICS OF PROPERTY PERSONS OR OPERATIONS THAT TENDS TO INCREASE THE FREQUENCY OR SEVERITY OF A LOSS |
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Term
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Definition
| A CONDITION OF THE LEGAL ENVIRONMENT THAT INCREASES LOSS FREQUENCY OR SEVERITY |
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Term
| LOSS EXPOSURES ARE TYPICALLY DIVIDED INTO 4 TYPES: |
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Definition
PROPERTY
LIABILITY
PERSONNEL
NET INCOME |
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