The insurance of risk management offers numerous, albeit less apparent, benefits to individuals. It can reduce production costs, which in turn can make goods and services available to consumers at a lower cost. A reduction in the number and severity of injuries should reduce the drain on expenses to family, the need for welfare programs for injured persons, and taxes needed for the support.
The insurance of risk management most often refers to as unintended outcomes. For instant, issue such as typhoon causing property damage and human casualties, unintended fire causing losses of house, flood causing vehicle damages, hence risk management and insurance are interrelated and definitely is a needed for an organization and personnel to protect the right as well as minimize greater risk exposure.