Study On Underwriting Risk Management And Control Of Coal Chemical Enterprises

With the development of society,the concept and practice of risk management have permeated our lives.Especially for high-risk industries such as mining,metallurgy,chemical industry,etc.A huge insurance market has been formed based on the consensus that the risk should be transferred.The insurance has become the last line to control the risk in the production process.The coal chemical industry takes high safety risk due to the inflammability and explosion environment with high-temperature and high-pressure in the production process.Coal chemical enterprises take protective and control measures to reduce the risk.Meanwhile,they will transfer the risk through the insurance.The underwriting risks is the essential issue related to the development of property insurance companies.The underwriting risk consists of the external risk and the internal risk.Internal risk is mainly introduced by decision-making procedure.External risk is the risk of the subject,which is the risk during the production of the coal chemical industry in this thesis.In the practice of insurance,the underwriting risk measurement of coal chemical enterprises is based on Chemical Plant Risk Grading Method.This method is simple,practical,and easy to operate.However,It is subjective and does not grasp the overall level of risk.In this paper,The correlation coefficient between continuous process(equipment)is introduced to highlight the impact of potential risks.Combined by Dow Chemical Fire and Explosion Index Method,the actual risk can be determined.The actual risk is the foundation for underwriting decision-making and control.Based on the thought of COSO,property insurance enterprises can carry out the full-dimensional method to control the internal risk and the complete period method to control the external risk.In addition,the insurance enterprise's own risk tolerance should be considered.By this way,In the practice of insurance underwriting,insurance enterprise can better confirm the underwriting content,underwriting conditions and methods of insurance underwriting in insurance contracts.Finally,the specific coal and chemical enterprise is selected for the application of underwriting risk measurement and control.