What is an example of a risk management strategy

Risk management can be described as the identification and evaluation of certain risks beforehand and the appropriate steps that can be taken to avoid the problematic situations. Risk management is the forecasting of certain risks and the plans made to resist or overcome these risk situations.

An example of a risk management strategy can be a pet owner understanding that he'll have to make major payments for the health of the pet or will have to pay vet bills. In order to save money, the pet owner decided to go for pet insurance beforehand so that any problematic situation can be avoided.

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