There are several ways of managing risk. Being part of a medical device company, it is integral to understand and predict certain risks and dangers the product might face. One form of risk management is risk mitigation. Risk Mitigation is when the consequences of certain actions can be reduced or limited. This is used in cases where risk is unavoidable but its effect can be limited. Another way to manage risk is by the transfer of risk. This is done by paying insurance companies to protect you incase of substantial financial loss or property loss. Risk acceptance is another form of managing risk and this is done by increasing anticipated profit to adjust for the risk associated.