The objective of this project deals with how risk may best be handled in an organization especially in a non-bank financial institution. It also centers on foreseeing, preventing, or at worst effectively handling such risk in any event. Information was also got from the internet, textbooks in the library, also from insurance companies, and questionnaire. The hypothesis is been used during the process of this project in order to tell us the methods which are to be tested in accord with which the consequences may be known or determined. The recommendation was derived from the findings of this topic.


Title page                                             i

Certification ii

Dedication     iii

Acknowledgement     iv

Abstract v

Table of contents     vi


1.0 Introduction 1

1.1 Meaning of Risk Management 1

1.2 Statement of the Problem 2

1.3 Objective of Risk Management 2

1.4 Types of Risk Management 2

1.5Significance of the Study3

1.6 Steps in Risk Management Process 3

1.7 Research Hypothesis 3 - 4

1.8 Scope of the Study 4

1.9 Limitation of the Study 4

1.10 Definition of Terms 4 - 5


2.0 Literature Review  6 - 7

2.1 Role of Non-Banking Financial Institution in Risk

 Management Practices. 7 - 8

2.2 National Insurance Corporation of Nigeria (NICON) 8 - 9

2.3 Sun Insurance (Nigeria) Plc 9 - 10

2.4 Caribbean Finance 10 - 11

2.5 Sherry Gold (Nigeria) Ltd 11


3.0 Research Methodology 12

3.1 Mode of Data Collection 12 - 13

3.2 Formulation of hypothesis 13

3.3    Testing of Hypothesis13


4.0Data Presentation and Analysis14

4.1 Presentation of Data 15


5.0 Summary 17

5.1 Recommendation 17 - 18

5.2 Conclusion 18

5.3 Bibliography 19

5.4 Appendix 20



This study is an attempt to explain how the jobs of manager are best handled in a non-bank financial institution e.g. Insurance Companies, Finance House and Investment Companies in order to ensure the accomplishment of organization goals and objectives because risk is part of everyday life, it could be public, private or both. 

Risk exists when the future is known because the adverse effects of risk have played mankind since the beginning. Individuals, groups, societies and even companies have developed various methods of managing risk even especially non-bank financial institutions. 

This chapter explains the meaning of risk management, its importance for non-bank financial institutions, the objectives, types and steps in management process. A risk manager is a person who is concerned with most but not all – pure risk and even some speculative risks. 


There is no definite meaning of risk management because writers and experts on this field have different meanings and approaches correct. 

According to C. Arthur Willians Jr. and Richard M. Heins, which defines the risk as the variation in the outcome that could occur over a specified period in a given situation? 

Also according to Ag. Head of Department of Actuarial Science and insurance, University of Lagos, Mr. E.T Akhile, define risk management as a systematic approach seeks to protect organization from various threats facing it. 

Some experts on this field, example Chief Joe Inikun define risk management as the scientific approach of dealing with individual and corporate risks and the various risks or hazards faced by mankind include soil erosion, road accidents, oil spoilage, air accidents, bush fires and industrial accidents like Bhopal gas leave in India and Lockerbile, air disaster in Scotland 1988 which caused mass death among other losses. 

In addition, risk management may be described as both an art and a science.


The management problem may be in the area of manpower especially the experienced hand who can really do the job well so that the organization or the company would not run into deficit or other difficult problems because this area of risk management practices requires competent planner and administrators of these resource will slow down the pace development in that organization. 

In addiction, mass ignorance of the concept of risk management. Non-application in corporate scheme of thing and Non-promotion of a new spirit of Risk management also appear as the problem of this project the project seeks to answer. 


A discret appraisal of risk brings to line light the aims of handling likely risk in any established organization especially in a non-bank financial institution. Basically the objectives of risk management centres in for seeing preventing or at worst effectively handling such risk in any event.                                


The process of risk management has three main elements:

1. Risk identification, which is concerned with identifying the possible cause or losses. 

2. Risk evaluation concerns with measuring the impact of possible loss in the enterprise by an assessment of the frequency of loss and there possible size in relation to the value of risk. Control may be either financial or physical and firms generally use both methods.  

The risk management itself is usually apply reduce the adverse effect of pure risk only and that is why the risk management should be practical by non-bank financial institutions. We are therefore concern with influencing the impact of losses which both reduce the profit and assets of a firm and increase its liabilities and which also cause these quantities to fluctuate unpredictably. Controlling the size and variability of losses can help the enterprises to attain higher and more stable level of profit and dividend payments. 


Risk management takes a far broader view of the problems posed by risk than does insurance. This is the first important point to group as we try to discover the nature of risk management rather than being limited to insurable risk of the form we have already studied risk management starts of a far more fundamental level. 


The steps risk management includes the following: 

1. The loss exposure of the business or family must be identified. Risk identification is the first and perhaps the most difficult function that the risk manager must perform.

2. After risk identification the next important step is the proper measurement of the losses associated with those exposures. This measurement includes a determination of the probability, the impact the losses would have financially and the ability to predict the losses that will actually occur during the budget period. 

3. Once the exposure has been identified and measured the various tools of risk management should be considered. These tools are: 

4. Avoiding the risk at all cost 

5. Reducing the chances of occurrence 

6. Transferring the risk to some other part 

7. Being the risk internally. 

Also the cost and other consequences of using each tool must be established.  

8. After deciding among the alternatives tool of risk treatment to be used for non-banking financial institutions, the risk management must implement the decision made. 

9. The result of the decision made and implemented must be monitored to evaluate the wisdom of those decisions and to determine whether changing condition suggest different solution. 


A hypothesis is some testable believed or opinion, it could be defined as a preposition condition or principle which is assumed, perhaps without belief in order to draw out its logical consequences and this method is to test accord with which are known or may be determined. 

Since the aim of the project is to show the effect of risk management for non-banking financial institution the proportion will be drawn from the respondents who practice the risk management in their organization. 

The role of hypothesis in scientific research is to suggest explanation for certain facts to guide in the investigation of others.    


This is the process of setting a theory or hypothesis about some characteristics of the population and sampling to see if the hypothesis is supported or not. 

It is the process by which the beliefs are tested by statiscal means. The hypothesis will make use of three variables thus: 

Ho: That certain proportion of organization do not practice risk management.

Hi: That certain proportion of organization practice risk management. 


This area covers all information with references to sherry Gold Nigeria Limited.


The underlisted were encountered in the conduction of this research.    

1. The collection of data from the internet was restricted in some certain area as information their was personalized.  

2. The collection of data from Editorial and the insurance companies was difficult as they back privilege information concerning the subject matter. 

3. Lack of accurate data for planning 


However, there have not been many terms that are so special here. But there may be term as special as: 

Risk Manager: A risk manager is a person who is concerned with most but not all pure risk and even some speculative risk. 

Risk Management: This can be defined as the variation in the outcome that could cover a specified period in a given situation. 

Bank: A bank is a place where money and other valuable things are kept for future references. 

Insurance: Can be defined as the payment of a sum of money by one person to another on the understanding that in a specified circumstance the second person will make good any loss suffered by the first. 

Insurance Companies: They make funds available to the market instruments and hold these instruments to maturity. 

Capital Market: This refers to sale and purchase of medium and long term securities

Management Information System: Can be defined as a computer system or related group of system which collects and presents management information relating to a business in order to facilitate its control.       



RESEARCHWAP.COM is an online repository for free project topics and research materials, articles and custom writing of research works. We’re an online resource centre that provides a vast database for students to access numerous research project topics and materials. guides and assist Postgraduate, Undergraduate and Final Year Students with well researched and quality project topics, topic ideas, research guides and project materials. We’re reliable and trustworthy, and we really understand what is called “time factor”, that is why we’ve simplified the process so that students can get their research projects ready on time. Our platform provides more educational services, such as hiring a writer, research analysis, and software for computer science research and we also seriously adhere to a timely delivery.


Please feel free to carefully review some written and captured responses from our satisfied clients.

  • "Exceptionally outstanding. Highly recommend for all who wish to have effective and excellent project defence. Easily Accessable, Affordable, Effective and effective."

    Debby Henry George, Massachusetts Institute of Technology (MIT), Cambridge, USA.
  • "I saw this website on facebook page and I did not even bother since I was in a hurry to complete my project. But I am totally amazed that when I visited the website and saw the topic I was looking for and I decided to give a try and now I have received it within an hour after ordering the material. Am grateful guys!"

    Hilary Yusuf, United States International University Africa, Nairobi, Kenya.
  • " is a website I recommend to all student and researchers within and outside the country. The web owners are doing great job and I appreciate them for that. Once again, thank you very much "" and God bless you and your business! ."

    Debby Henry George, Massachusetts Institute of Technology (MIT), Cambridge, USA.
  • "I love what you guys are doing, your material guided me well through my research. Thank you for helping me achieve academic success."

    Sampson, University of Nigeria, Nsukka.
  • " is God-sent! I got good grades in my seminar and project with the help of your service, thank you soooooo much."

    Cynthia, Akwa Ibom State University .
  • "Great User Experience, Nice flows and Superb functionalities.The app is indeed a great tech innovation for greasing the wheels of final year, research and other pedagogical related project works. A trial would definitely convince you."

    Lamilare Valentine, Kwame Nkrumah University, Kumasi, Ghana.
  • "Sorry, it was in my spam folder all along, I should have looked it up properly first. Please keep up the good work, your team is quite commited. Am grateful...I will certainly refer my friends too."

    Elizabeth, Obafemi Awolowo University
  • "Am happy the defense went well, thanks to your articles. I may not be able to express how grateful I am for all your assistance, but on my honour, I owe you guys a good number of referrals. Thank you once again."

    Ali Olanrewaju, Lagos State University.
  • "My Dear Researchwap, initially I never believed one can actually do honest business transactions with Nigerians online until i stumbled into your website. You have broken a new legacy of record as far as am concerned. Keep up the good work!"

    Willie Ekereobong, University of Port Harcourt.
  • "WOW, SO IT'S TRUE??!! I can't believe I got this quality work for just 3k...I thought it was scam ooo. I wouldn't mind if it goes for over 5k, its worth it. Thank you!"

    Theressa, Igbinedion University.
  • "I did not see my project topic on your website so I decided to call your customer care number, the attention I got was epic! I got help from the beginning to the end of my project in just 3 days, they even taught me how to defend my project and I got a 'B' at the end. Thank you so much, infact, I owe my graduating well today to you guys...."

    Joseph, Abia state Polytechnic.
  • "My friend told me about ResearchWap website, I doubted her until I saw her receive her full project in less than 15 miniutes, I tried mine too and got it same, right now, am telling everyone in my school about, no one has to suffer any more writing their project. Thank you for making life easy for me and my fellow students... Keep up the good work"

    Christiana, Landmark University .
  • "I wish I knew you guys when I wrote my first degree project, it took so much time and effort then. Now, with just a click of a button, I got my complete project in less than 15 minutes. You guys are too amazing!."

    Musa, Federal University of Technology Minna
  • "I was scared at first when I saw your website but I decided to risk my last 3k and surprisingly I got my complete project in my email box instantly. This is so nice!!!."

    Ali Obafemi, Ibrahim Badamasi Babangida University, Niger State.
  • To contribute to our success story, send us a feedback or please kindly call 2348037664978.
    Then your comment and contact will be published here also with your consent.

    Thank you for choosing