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Impact of Insurance and Financial Inclusion on Financial Risk and Their Role in Reducing Risk
ISSN: 2195-1381
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Impact of Insurance and Financial Inclusion on Financial Risk and Their Role in Reducing Risk
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Abstract
Risk refers to the possibility that something unpleasant or dangerous might happen. As we all know that human beings always prefer and strive for happy situations in life and want to avoid the adverse ones. Every risk involves the loss of one or other kind. The economic climate and markets can be affected very quickly by changes in exchange rates, interest rates, and commodity prices. Counter parties can rapidly become problematic. Personal risks are risks that will directly affect an individual and they involve the possibility of the complete loss or reduction of earned income. Whereas financial risk is the risk arising from the changes in the values of measurable financial values. In order to face this risk factor in life, be it individual risk or financial risk, we look for something that will shield us from getting affected by this risk. It is here, we think of some financial services like insurance and other means of financial in...
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