RISK MANAGEMENT

BWRR3033

RISK IDENTIFICATION

Abdelnaser Omran
25th September 2016
Risk Identification
It is the first step in Risk Management
Process (RMP).

It is usually considered as the most

difficult step in the RMP.
Objectives of Risk Identification
There are 3 main objectives in identifying
risk:

1. To monitor existing risks

2. To identify new risks
3. To detect the changes in risk profile.
 Loss Exposures

Exposure is loss exists whenever an

act or a circumstance gives rise to
possible loss that cannot be
predicted with certainty.
Types of Loss Exposure

• Physical Asset Loss Exposure

• Financial Asset Loss Exposure
• Liability Asset Loss Exposure
• Human Asset Loss Exposure
 Cont.
The damages awarded can be compensatory damage (CD) or
punitive damage (PD):

Compensatory damage: is compensation paid to the plaintiff to

indemnify the plaintiff's losses.

This is can be in 2 Forms (Special damage or General damage)

Punitive damages: is compensation for the plaintiff’s losses meant

to punish the defendant for his action that led to the injury or
property damage to indemnify the plaintiff's losses.
Thank You