What is a risk management information system?

A risk management information system is a computer system that allows professionals to evaluate risks that will aid in decision making. These evaluations include risk management, risk exposure, risk protection measures, and more. A risk management information system stores property values, relevant insurance policies, loss-control measures, and other important information that is necessary for business, as well as providing reports that are relevant to decision-making management teams. One of the benefits of this type of system is it consolidates all the information collected and produced, keeping it in one place. These systems are quite flexible, allowing manipulation of data to assist in management solutions.

Learn more about a risk management information system

When do I need to be aware of a risk management information system?

An example of someone who might use a risk management information system is a small business owner or a human resources manager. These individuals make important decisions for their companies and can use the data discovered with a risk management information system to make those decisions.

What is important to know about a risk management information system?

A risk management information system eliminates the need to dig around in files that are unorganized. In addition to saving time, this type of system offers various other benefits:

With a risk management information system in place, data is less redundant and there are fewer errors within that data, which improves accuracy and reliability in the workplace.
Because of the reliability of a risk management information system, many companies are able to save tens of thousands of dollars a year.
There are a lot of rules and regulations a company has to abide by, and this type of system allows for greater compliance with them all.
A company that operates out of multiple locations can keep its information and have access to it in one location without the need to travel back and forth.
With a risk management information system, business owners become aware of risks they may not have understood, which leads to greater insurance protection.