Severity assessment of transmission lines is a very important aspect of contingency analysis of a power system. Thereafter, a proper solution needs to be provided to ensure a secured power supply. In this paper, rapid contingency ranking technique (RCRT) has been introduced for the contingency assessment of a power system. Several composite indices have been designed by forming different combinations of line overload indices and voltage stability indices and the results have been compared. Deterministic and probabilistic approach have been used for the placement of IPFC and the results have been compared. While, the probability approach protects the system against most of the contingencies, the deterministic approach protects the system against the severe-most contingency. Thereafter, the IPFC is tuned using the differential evolution method. A multi-objective function has been formulated for tuning the device. The use of IPFC to overcome the post-contingency problems has been reinforced by implementing the proposed strategy on an IEEE 57 bus system.