Importance Being an element of financial relationships, insurance creates necessary conditions for preventing effects of financial risks. The research focuses on the system for insurance of households’ financial risks. Objectives The research determines whether the system should be applied. Methods The research relies upon methods of analysis, synthesis, graphical method and comparative analysis. To systematize the insurance of household’ financial risks, I used the grouping method. Results I prepared a matrix of financial risks for each element of households’ finance and indicated the method to mitigate them. The article also defines the concept of insurance of households’ financial risks and explains my approach to analyzing it. Conclusions and Relevance It is reasonable for any household to insure each element of its finance. When protecting themselves from financial risks, household members can act as insurers, the insured, or both at the same time depending on a form and type of insurance. To choose an insurer, I recommend considering its rank and insurance plans, which it offers for households.
Keywords: finance, households, insurance, financial risk, life insurance
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