Risk Avoidance

This is the easiest way to reduce risk but avoiding all risks is not possible - an example would be fire.

Risk avoidance is part of risk management. Risk avoidance can be considered the most effective way of managing risk. You decide not to do something because of the chance of risk causing a loss.

This may not always be in your best interest as sometimes risk is necessary if you wish to progress. You need to consider the pros and cons of going ahead with something which might have an element of risk and decide if you will accept a certain amount of risk.

See Also:

• Insurance
• Risk Control
• Risk Management