Question

Write a report on

The impact of cash flow risk management in the insurance industry

Answer 1

Impact of cash flow risk management in insurance industry are as follows-

A. Cash flow risk management will help the insurance industry in Pro actively managing their risk in future.

B. Cash flow risk management will also help in order to discount the cash flows arising out of various investing and financing and operating activities and it will help them in order to manage the cash flows better

C.Analysing of the cash flow of the past can help them to provide them with an idea about the payables.

D. Cash flow management will also help them in order to avoid any kind of abnormal losses by properly adopting the conservative approach.

E. impact of cash flow management in insurance industry will help the insurance industry to apply proper weighted average cost of capital to discount the cash flows related to the future.

F. it will help various department in order to fix their responsibilities and work efficiently because they are aware of their targets and they will be trying to fulfill them in order to synchronise their close with the goals of organisation.