INSURANCE AS A METHOD OF RISK MANAGEMENT IN BUSINESS

Market modern economy is not stable enough, so that the entrepreneur was able to carry out their activities without any risk. However, risk management is possible using several methods, one of which is insurance. Enterprise Risk Insurance reduces uncertainty in planning financial activities, while freeing up cash that would have to be reserved in the risk fund to cover unexpected losses, and can now be used to generate income by investing in production. Thus, the insurance not only helps to compensate for the losses, but also can create the mechanisms for their prevention, as well as insurance creates conditions for the accumulation of capital and their rational use.