Emergency Management in Risk Control: Approaches for Surpassing Financial Challenges

Abstract

Crisis management is an essential component of strategic planning and forecasting in companies, and its importance has grown significantly in the aftermath of the global crisis caused by the COVID-19 pandemic. While insurance companies traditionally focus on preventing and compensating for negative economic events, effective crisis management is equally crucial for accurate risk assessment, as the stability of the insurance sector directly supports the stability of the wider financial system. The aim of this research was to analyze contemporary perspectives on anti-crisis management in insurance and evaluate the effectiveness of measures applied to overcome crisis situations. To achieve this, the study employed bibliographic-analytical methods, induction, deduction, synthesis, generalization, online surveys, and logical, as well as statistical and graphical, comparison. The findings revealed notable differences in risk management approaches across companies of different sizes. Large insurance companies placed considerable emphasis on training staff in crisis management and employing specialists in analytics and risk assessment. Medium-sized firms often relied on external consultations, scenario planning, and employee training, while small firms generally paid insufficient attention to risk management practices. Among anti-crisis measures and management staff training, the work of strategic planning departments, strengthening teamwork, and financial frugality were associated with the effectiveness, speed, and progressiveness of overcoming an economic crisis with a medium-strength connection. That is why large companies that combined these measures were more effective in overcoming crises. In contrast, medium and small enterprises achieved lower effectiveness, reflecting their more limited and inconsistent adoption of crisis management measures.