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BFN421

Risk Management And Insurance

This course introduces students to the fundamental principles of risk management and insurance. It covers the nature and types of risk, people's attitudes towards risk, and the costs associated with risk exposures. Students will explore risk management processes, methods, and the roles of various agents. The course also examines risk detection, evaluation, control, and financing strategies, along with the importance of quality control in risk management. Successful completion will equip students with the knowledge to manage risk in organizations.

About this course

Difficulty
Intermediate
Study hours
20 hours
Maths
Basic
Content
Theoretical, case study
Practical work
No
How it is assessed
  • Assignments
  • Tutor Marked Assessments
  • Final Examination

One paragraph, so you can see how it reads

BFN421 · UNIT 1: MEANING AND NATURE OF RISK

There are many definitions of the term risk which are examined herein so that you can appreciate the nature of risk. An array of definitions is reviewed below towards establishing a framework for the discussion of risk.

What you should be able to do

  1. Define the concept and nature of risk.
  2. Discuss the fundamental aspects of types of risk.
  3. Analyze the aspects of people's attitude to risk.
  4. Explain the process of risk management.
  5. Discuss the methods of risk management.
  6. Analyze the agents of risk management.
  7. Discuss risk and quality control.

What it prepares you for

Careers
  • Risk Manager
  • Insurance Underwriter
  • Compliance Officer
  • Financial Analyst
  • Project Manager
Where it is applied
  • Banking
  • Insurance
  • Finance
  • Healthcare
  • Manufacturing

Where it gets hard

The units students slow down on, and what makes each one heavy.

  • Module 2: Scope & Benefits of Risk Management

    Unit 9: Methods of Risk Management

    Involves understanding and applying various risk management techniques, requiring analytical and problem-solving skills.

  • Module 3: Risk and Quality Control

    Unit 12: Risk Evaluation

    Requires understanding of complex statistical methods and their application to risk assessment and quality control.

A suggested way through it

Suggested

13 weeks, about 49 hours in total. Yours will differ.

  1. Week 1Module 1: Meaning and Nature of Risk
    • Unit 1: Meaning and Nature of Risk · 2 hours

      Define risk. Discuss the nature of risk. Differentiate between uncertainty and risk.

    • Unit 2: Types of Risk · 2 hours

      Identify types of risk. Explain external risks. Discuss internal risks.

  2. Week 2Module 1: Meaning and Nature of Risk
    • Unit 3: Risk and Business Stakeholders · 2 hours

      Explain stakeholders and business risks. Discuss outside stakeholders and risk. Identify inside stakeholders and risk.

    • Unit 4: People's Attitudes to Risk · 2 hours

      Explain objective and subjective elements of risk. Differentiate between risk and uncertainty. Discuss attitudes to risk.

  3. Week 3Module 2: Scope & Benefits of Risk Management
    • Unit 5: Costs Associated With Risk · 2 hours

      Mention costs associated with the nature of risk. Differentiate between private and social costs. Identify losses inherent in risk.

    • Unit 6: Causes of Risk · 2 hours

      Mention various causes of risk. Identify perils in business. Identify hazards in business.

  4. Week 4Module 2: Scope & Benefits of Risk Management
    • Unit 7: Scope & Benefits of Risk Management · 2 hours

      Explain the realm of risk management. Discuss the nature of risk management. Explain the scope of risk management.

    • Unit 8: Process of Risk Management · 2 hours

      Discuss the risk management process. Identify principles of risk management. Explain components of risk management.

  5. Week 5Module 2: Scope & Benefits of Risk Management
    • Unit 9: Methods of Risk Management · 2 hours

      Explain techniques of managing corporate risks. Identify types of personal risk. Discuss managing personal risks.

    • Unit 10: Agents of Risk Management · 2 hours

      Describe the place of a risk manager. Discuss the role of the risk manager. Evaluate the need for outside brokers.

  6. Week 6Module 3: Risk and Quality Control
    • Unit 11: Risk Detection · 2 hours

      Explain detection of risk exposure. List methods of risk detection. Identify features of risk detection.

    • Unit 12: Risk Evaluation · 2 hours

      Explain the process of risk assessment. Differentiate between potential severity of impact of risk and composite risk index. Discuss level of risk in relation to self insurance.

  7. Week 7Module 3: Risk and Quality Control
    • Unit 13: Risk Control · 3 hours

      Explain the control of the level of risk exposure. Discuss the reduction of the chances of risk occurring. Identify measures for guiding against fire and other perils.

  8. Week 8Module 3: Risk and Quality Control
    • Unit 14: Risk Financing · 3 hours

      Identify the elements of cost in incidents of risk. Mention the determinants of risk financing. List and explain the methods involved in risk financing.

  9. Week 9Module 3: Risk and Quality Control
    • Unit 15: Risk and Quality Control · 3 hours

      Discuss the essence of risk and quality management. Identify the measures for safeguarding operations of organizations. Identify relevant measures for safeguarding quality of products and services.

  10. Week 10Module 1: Meaning and Nature of Risk
    • Unit 1: Meaning and Nature of Risk · 4 hours

      Review key concepts from Module 1. Work on TMA questions.

  11. Week 11Module 2: Scope & Benefits of Risk Management
    • Unit 7: Scope & Benefits of Risk Management · 4 hours

      Review key concepts from Module 2. Work on TMA questions.

  12. Week 12Module 3: Risk and Quality Control
    • Unit 15: Risk and Quality Control · 4 hours

      Review key concepts from Module 3. Work on TMA questions.

  13. Week 13Module 1: Meaning and Nature of Risk
    • Unit 1: Meaning and Nature of Risk · 4 hours

      Final Revision. Complete outstanding TMAs.

Preparing for the exam

What to do
  • Review all unit summaries and key terms to reinforce understanding of core concepts.
  • Create concept maps linking different types of risks (Units 2 and 6) to their corresponding management strategies (Units 8 and 9).
  • Practice applying risk assessment techniques (Unit 12) to real-world scenarios, focusing on calculating composite risk indices.
  • Focus on understanding the roles and responsibilities of risk managers (Unit 10) and their interaction with other departments.
  • Prepare detailed notes on risk financing methods (Unit 14), including self-funding, captive insurers, and alternative risk transfer mechanisms.
  • Allocate study time proportionally based on the weight of each module in the final examination.
  • Review all Tutor-Marked Assignments (TMAs) and incorporate feedback into your study notes.
  • Practice time management by simulating exam conditions and answering past questions within the allocated time.

Questions students ask about this course

What is BFN421 about?

This course introduces students to the fundamental principles of risk management and insurance. It covers the nature and types of risk, people's attitudes towards risk, and the costs associated with risk exposures. Students will explore risk management processes, methods, and the roles of various agents. The course also examines risk detection, evaluation, control, and financing strategies, along with the importance of quality control in risk management. Successful completion will equip students with the knowledge to manage risk in organizations.

How many units does BFN421 have?

BFN421, Risk Management And Insurance, has 15 units across 1 module, over 182 pages of course material. You can read it one unit at a time.

How many credit units is BFN421?

BFN421 carries 2 credit units, at 400 level in Management Sciences.

Is BFN421 hard?

BFN421 is rated intermediate level, with basic mathematical content. It is mostly theoretical and case study work.

How long does BFN421 take to study?

About 20 hours of study, spread across its 15 units.

How is BFN421 assessed?

BFN421 is assessed by Assignments, Tutor Marked Assessments and Final Examination.

What can I do with BFN421?

Risk Manager, Insurance Underwriter, Compliance Officer, Financial Analyst and Project Manager.

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