University approves new risk management minor

Starting in spring 2025, Carolina students may enroll in a new minor in risk management, designed to prepare them to use cutting-edge modeling and data science techniques to better understand and manage risks.

“Assessing these types of risks is one of our research strengths at Carolina, and an area we will continue to grow,” said Penny Gordon-Larsen, vice chancellor for research. “Through this minor, we will pair our world-class faculty with passionate students, creating a pipeline that will ultimately supply our state and beyond with a talented workforce that can tackle these challenges.”

The minor, developed by the Institute for Risk Management and Insurance Innovation in partnership with the School of Data Science and Society, received approval from the UNC-Chapel Hill College Administrative Board on Oct. 7.

“Society faces a growing list of financial risks, everything from extreme weather to cybersecurity threats,” said Greg Characklis, W. R. Kenan Jr. Distinguished Professor at the Gillings School of Global Public Health. “We are excited to offer students an opportunity to develop the skills required to better manage these risks and connect them with the global risk management and insurance industries that focus on solutions.”

Stan Ahalt, dean of the School of Data Science and Society, added, “We are thrilled to partner with the Institute for Risk Management and Insurance Innovation on this academic offering. The combination of data science and risk management will provide our students with a unique and valuable skill set for the future.”

The risk management minor consists of four courses that will equip students with the necessary skills to analyze and mitigate risks in various fields:

• • DATA/ENEC/ENVR 540 Introduction to Risk Management and Insurance (3 credits): This course introduces students to the motivations, objectives and principles of financial risk management through the lens of insurance, reinsurance and financial institutions.
  • DATA/ENEC/ENVR 541 Natural Hazards and Financial Risk (3 credits): This course is designed to give students exposure to the quantitative analytical techniques used in financial risk evaluation and management of natural hazards.
  • DATA/ENEC/ENVR 542 Insurance: Balancing Risk and Return (1.5 credits): This course is designed to give students exposure to the challenges of managing the market-based financial risk driven by uncertainty in the value of both liabilities and assets. This 1.5 credit course will be paired with an existing 1.5 credit course (BUSI 600 Risk Management) that will advance the students’ understanding of the tools and strategies used to manage market-based financial risk, including options, swaps and derivatives.
  • DATA/ENEC/ENVR 543 Risk, Data Science and AI (3 credits): This course introduces students to advanced techniques in data sciences, machine learning and artificial intelligence and their application to the management of both natural hazard and market-related financial risks.

Students interested in registering for any of the new courses for spring 2025 must search Connect Carolina for the course numbers mentioned above. The courses will be listed in the course catalog beginning in June 2025.

For more information about the risk management minor, please contact Greg Characklis at charack@email.unc.edu.