Certificate in Risk Management and Insurance

Our Certificate in Risk Management and Insurance provides students with a basic understanding of the many aspects of risk management and insurance (RMI), concentrating on value creation and asset protection—knowledge vital for careers in financial and credit analysis, corporate risk management, risk management consulting, employee benefits management and insurance consulting, insurance brokerage, and underwriting. It is the perfect complement to any undergraduate degree. RMI courses also help students better understand their personal risk exposures and possible risk management solutions (e.g., auto liability insurance, health insurance, retirement planning).

Plan your RMI course schedule (pdf)

Declaring the RMI certificate

After you successfully complete ECON:1100 and ECON:1200, enroll in FIN:3400 and meet with the RMI advisor to declare the certificate and to plan your course schedule.

To earn the certificate, students must complete the required courses listed below, earn a grade of C or better in FIN:3400, and maintain a minimum 2.0 cumulative GPA in all courses, UI courses, RMI courses, and UI RMI courses.

To schedule an advising appointment, go to MyUI and select the Vaughan Institute.

Schedule an appointment

Course requirements

Foundation courses

Organization, workings of modern economic systems; role of markets, prices, competition in efficient allocation of resources and promotion of economic welfare; alternative systems; international trade. Requirements: BBA students cannot use this course for General Education social sciences. GE: social sciences. (4 s.h.)

National income and output, employment, and inflation; money, credit; government finance; monetary, fiscal policy; economic growth, development; international finance. Requirement: BBA students cannot use this course for General Education social sciences. GE: social sciences. (4 s.h.)

Accounting and financial reporting procedures used by business and not-for-profit entities; emphasis on accounting concepts and use of accounting information in making economic decisions. Requirement: sophomore or higher standing. (3 s.h.)

RMI required courses

Financial management goals and decision making; valuation of bonds and stocks, risk and return analysis, portfolio diversification, market efficiency, asset pricing, cost of capital, agency theory, capital budgeting, financial planning. Prerequisites: ECON:1200 and ACCT:2100 and ECON:1100. Requirement: 60 s.h. completed. (3 s.h.)

Introduction to risk and insurance; risk identification and evaluation, demand for insurance, effects of limited liability, theory of moral hazard and adverse selection; business and personal risk; insurance as a risk management tool. Prerequisites: ECON:1100 and ECON:1200. (3 s.h.)

Analysis and treatment of pure and financial risks faced by business organizations; development and implementation of the risk management process, application of varied risk management techniques to identified exposures; how businesses manage risk and how insurance is used to manage the cost of risk; case studies. Prerequisite: FIN:3400. (3 s.h. Fall only.)

RMI elective courses (choose two)

Fundamentals of commercial property and liability insurance; commercial property and liability contracts, functions of property and liability insurers; regulation and financial analysis of property and liability insurers; marketing, underwriting, rate making, claim settlements. Prerequisite: FIN:3400. (3 s.h. Spring only.)

Types of life insurance and annuity contracts and their uses; regulation of life and health insurers; development of financial plans using life insurance products; Social Security, group, and individual health insurance products, including major medical, disability income, long-term care policies; marketplace analysis; contractual provisions, determination of human life values, mathematics of life contingencies and pricing. Prerequisite: FIN:3400. (3 s.h. Fall only.)

Management of employee benefit plans (e.g., group life and health insurance, retirement programs); design, administration, and financing of employee benefits; federal administration of employee benefit plans; funding requirements, financial alternatives; funding and vesting of retirement annuities; design and management of health care plans, including "cafeteria" approach and non-qualified deferred compensation arrangements; economic effects and financing employee benefits and retirement plans in private and public sectors. Prerequisite: FIN:3400. (3 s.h. Fall only.)

Theory used to solve real-life problems taken from a diverse set of risk management applications; varied areas where risk analysis has become important (i.e., finance, insurance, corporate risk management, personal financial planning); principles of probability theory, mathematical finance, and actuarial science developed for use in quantitative analysis of important risk management problems; spreadsheet-based course. Prerequisite: FIN:3000. (3 s.h. Spring only.)

Fundamentals of insurer and captive operations; regulation, accounting, finance, marketing, underwriting, reinsurance, ratemaking, and claims management; students set up and manage a captive insurance company covering risk exposures of the University. Prerequisite: FIN:3400. (3 s.h.)

Finance majors are required to take three of these additional electives:

Predictable aspects and dynamics of bargaining experiences; simulations, experiential exercises to foster skills needed for effective negotiation in almost any situation. Requirement: 90 s.h. completed. (3 s.h.)

Personal selling, management of sales force; emphasis on recruitment, selection, training of sales representatives; problems in allocation of sales effort, supervision, control. Prerequisite: MKTG:3000. (3 s.h.)

Introduction to programming Visual Basic for Applications in Excel to develop spreadsheet-based, decision-support systems. Prerequisite: MSCI:3005 or BAIS:3005 or CS:2110. (3 s.h.)

Math majors in Program C are required to take three of these additional electives:

Required for Math C (finance/RMI track) students. Applications of commonly used financial software and data systems reviewed by student teams. Corequisite: FIN:3000. (2 s.h.)

Investment in marketable securities in domestic and international markets; financial markets, securities trading, evaluation of risk/return trade-off, formulation and implementation of investment strategies, efficient portfolio formation. Prerequisite: FIN:3000. Corequisite: FIN:3100. (3 s.h.)

Advanced managerial decision making; corporate financial policy, dividend policy, agency theory, corporate restructuring, capital structure strategies, mergers and acquisitions, option pricing fundamentals, convertible debt, callable debt, warrants. Prerequisite: FIN:3000. Corequisite: FIN:3100. (3 s.h.)

Theories of fixed income securities, term structure of interest rates; asset pricing models, valuation of fixed income securities and contingent claims, fixed income portfolio management, immunization strategies, yield curve analysis. Prerequisites: FIN:3000 and FIN:3100. (3 s.h.)

Management of commercial banks and financial service firms; asset and liability management, credit policy, capital risk, liquidity planning, use of swaps and derivatives to hedge interest rate risk, global banking, investment strategies. Prerequisites: FIN:3100 and FIN:3000. (3 s.h.)

Use of options, futures, and other derivative securities in financial management; understanding types of derivative securities, markets, trading technology; applications of risk management and speculation; pricing relations with underlying securities. Prerequisites: FIN:3100 and FIN:3200. (3 s.h.)

Fundamentals of real estate finance and investments; economic base analysis, asset analysis, market analysis, mortgage markets, underwriting, alternative mortgages, mortgage-backed securities, real estate securitization, land development, valuation principles, investment analysis, tax consideration, portfolio management. Prerequisites: FIN:3000 and FIN:3100. (3 s.h.)

External financial reporting practices in context of decisions by management, current and potential stockholders, financial analysts; emphasis on interpretation, use of financial statements. Prerequisite: ACCT:2200. (3 s.h.)