Risk Management Like other fields of knowledge management and its application utilize specific knowledge, instructions, regulations and principles to achieve predefined predictions and objectives. Risk management has developed principles and procedures that individuals, enterprises (commercial and industrial), insurance companies and governments can use to perform the foresight task of assessing, controlling and financing losses based on the systematic risk management approach. To this end, it is always working to answer two fundamental questions about the likely future consequences of the risk management criteria, securing organizations and investments against risks and losses requires the formation of an intellectual and practical system that integrates risk-based policymaking. The study show that insurance companies with great risk management have better return on equity and better performance in other key business factors in comparison with competitors who do not provide good importance to risk management
