Research On The Risk Management Mode Of Product Liability Insurance

Because of the subject of insurance is not sufficiently clear and the risk is difficult to be controled for Liability insurance compared to property insuranc , the level of its risk management will directly affect the operation and efficiency of insurance companies. As an important part of liability insurance ,the research for risk management model of Product liability insurance is an important measure to solve the problems of product liability insurance and to improve the level of risk management of insurance companies.At present,the risk classification table for product liability insurance which we are using can not describe completely the nature of product risks, therefore, using it as the basis of underwriting and risk control is unfavorable to the stability operation of the Product liability insurance.For risk assessment model of single product, this paper used two-dimensional parameters: the severity and possibility, to descript the risk of single product, and take into account the differences of the nature of risk between group and single product, therefore, based on considering the possibility and severity, the paper introde a third parameter TR—reaction time of loss, using three-dimensional variables to describe the risk characteristics of group products, and set up risk assessment model of group products.Risk management of product liability insurance in our country is not maturity, it only refers to the product performance and accident before underwriting. It hasn't included the whole life-cycle risk management. The thesis establishes product liability insurance risk management model from many references to the MIL-STD-882D. It shows the risk management in the whole life-cycle, such as risk survey,underwriting , risk tracking during the insurance. At the same time, it shows the risk management desires to products which have different risk styles in the whole life-cycle, and controls the risk to acceptable.Finally, it obtains the stated loss ratio to ensure the running of product liability insurance better.