Study On Insurance Scheme Of Intradin (Shanghai) Company

Risk management is a new management concept in business management. It is a scientific management methods to achieve maximum security at least cost. It is also the most economical and reasonable way to deal with risk. Risk management is a continuous dynamic process of circulation, the specific procedures include:the establishment of risk management objectives-to identify risks-and to estimate the risk of loss-the five steps of the selection and implementation of risk management program-inspection and assessment of the effects of risk management. The five steps are interdependent and mutual restraint. Insurance is a common method of risk management which can transfer risk, It is an economic system which make the compensation of losses.SMEs (Small and medium-sized enterprise) are an important part of our economic and social and industrial structure which is the new economic growth point and the most active productivity of the foundation of social stability in China. But in reality, weak awareness of the risk management of SMEs in China lags behind, risk tolerance, serious consequences, Therefore, the implementation of risk management is of significance to SMEs. With the weak ability of risk management, the establishment of insurance mechanisms to manage risk to the SMEs is of a high degree of necessity.Based on the basic theory of risk management and insurance, the thesis summarized the risk management of SMEs in China and discusses the need for the establishment of insurance mechanisms.Then it proposed the processes and methods of the establishment of insurance mechanisms. Acoording to a comprehensive and in-depth analysis of the risks and problems which SMEs is faced on behalf of Intradin(Shanghai) Machinery Co., Ltd., then in accordance with the general procedures of risk management, taking this risk transfer method of insurance, t ransfering the risks for Intradin(Shanghai) Machinery Co., Ltd..and to establish an insurance mechanism for SME to transfer the risks, to design a scientific and effective management of the insurance program; Finally, practical implementation issues of the insurance program for Intradin(Shanghai) Machinery Co., Ltd. was supplemented,then a summary was made to the full text.The study of this subject provides Intradin(Shanghai) Machinery Co., Ltd. the risk management solutions and decision support, but also provides a reference for other SMEs to the use of insurance mechanisms for risk management, to improve risk management for SMEs backward status to help the development of SMEs, to promote social progress.