This document discusses risk management and legal liability in the tourism industry. It defines risk as potential for loss or damage, and risk management as practices to minimize unacceptable risks. The two main reasons for tourism operators to practice risk management are to avoid injury and protect their business. Key aspects of risk management include identifying risks, reducing likelihood and consequences of events, and obtaining insurance. Effective risk management demonstrates care for guest and employee safety while protecting business operations. The risk management process involves identifying risks through inspections, reviews, and stakeholder input. Waivers are also discussed as a tool to transfer risk acceptance to participants.
This document discusses risk management and legal liability in the tourism industry. It defines risk as potential for loss or damage, and risk management as practices to minimize unacceptable risks. The two main reasons for tourism operators to practice risk management are to avoid injury and protect their business. Key aspects of risk management include identifying risks, reducing likelihood and consequences of events, and obtaining insurance. Effective risk management demonstrates care for guest and employee safety while protecting business operations. The risk management process involves identifying risks through inspections, reviews, and stakeholder input. Waivers are also discussed as a tool to transfer risk acceptance to participants.
This document discusses risk management and legal liability in the tourism industry. It defines risk as potential for loss or damage, and risk management as practices to minimize unacceptable risks. The two main reasons for tourism operators to practice risk management are to avoid injury and protect their business. Key aspects of risk management include identifying risks, reducing likelihood and consequences of events, and obtaining insurance. Effective risk management demonstrates care for guest and employee safety while protecting business operations. The risk management process involves identifying risks through inspections, reviews, and stakeholder input. Waivers are also discussed as a tool to transfer risk acceptance to participants.
This document discusses risk management and legal liability in the tourism industry. It defines risk as potential for loss or damage, and risk management as practices to minimize unacceptable risks. The two main reasons for tourism operators to practice risk management are to avoid injury and protect their business. Key aspects of risk management include identifying risks, reducing likelihood and consequences of events, and obtaining insurance. Effective risk management demonstrates care for guest and employee safety while protecting business operations. The risk management process involves identifying risks through inspections, reviews, and stakeholder input. Waivers are also discussed as a tool to transfer risk acceptance to participants.
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Chapter 11: Risk Management
and Legal Liability
HOSP 110 Learning Objectives What is Risk Management? Risk: Potential for loss or damage. Financial, property, injury to workers or guests Risk management: Practices, policies, procedures designed to minimize or eliminate unacceptable risks. A process of determining the exposure to risk Then initiating action to either minimize or eliminate the risk. Why Practice Risk Management? Two main reasons for T operators to practice risk management: 1. To avoid injury to guests or employees; 2. To protect their business from financial or physical ruin. A moral and ethical responsibility Includes avoiding both emotional and physical harm. Businesses protect against: Damage to reputation; Financial impacts from litigation Operators demonstrate that they are prioritizing the health and safety of individuals, while still taking steps to protect the operational sustainability of the company. Risk Management Reduces the likelihood of an unwanted and unplanned event; Reduces the consequences of the event; Enhances your ability to access comprehensive and cost-effective insurance. Risk management initiatives Required by law and enforced by government agencies: Companies providing public transportation Motor Vehicle Branch of government sets rules and regulates the industry. Tour bus accidents in BC: What are the likely causes? What are the possible consequences for the operator? Self-Regulation If a guest is injured, and feels they have grounds for a financial claim, they can sue.
Comply with statutory requirements, be sure to
self-monitor if standards they operate under are acceptable to society and their peers. Failure could mean large financial settlement with the claimant. Pay fines, be suspended from operation, be sued. Concepts of Risk Real risk: Actual statistical likelihood of an incident occurring. Review statistics and relevant data, use an analysis process, and/or use expertise in the field. Perceived risk: Perception of risk by those undertaking or evaluating something Inherent risk: The risk that must exist for the activity to occur. Operators take steps to minimize inherent risk. Provide safety equipment; train staff; inform participants of the hazards of the activity Case CBC TV Marketplace risk management episode on hang gliding in Florida. Risk Management Process Risk identification: On-site inspections and discussions with management and staff; Review of products, services, processes, and contracts; Review of historical activities and losses; Identification of possible risk scenarios. Contracts, negligence and tort law: leave to law course Waivers Waivers important in recreation, outdoor, sport and adventure tourism. They are an effective risk management tool. Waiver is a contract that transfers acceptance of the risk to the participants by requiring them to acknowledge the risks present in the activity. Sample Waiver Valhallapow Powdercats. Four components of an effective waiver:
Clearly outline the risks in the activity and
voluntary acceptance of the risk; Waiver of rights: Waive the participants right to pursue legal action against the operator in case of negligence; Be short and easy to read, be easily recognized as a legal document, include place for signature Signed only by participants when they have been given ample time to read and understand it well in advance of the event or activity. Case: Loychuk v. Cougar Mountain Adventures Ltd. All other topics for law course. Exercises