|
|
|
CRC > Services |
|
Commercial
Risk Consultants provides expert, unbiased risk management guidance to various
types of governmental, commercial, and non-profit organizations. Primary
services include: Property/Casualty Risk Management Employee Benefits Risk Management |
|
CRC
> Services > Property and Liability Consulting |
|
Property and Liability
Consulting Services Back to Top A Risk Management Overview Risk Management involves the
implementation of a program to identify and manage an organization's
property, liability, income, and human resources exposures to accidental or unforeseen
loss. These duties may be centralized around a risk manager, or spread out
among various other individuals or departments. Risk Control techniques are used to either avoid, reduce, or prevent losses. Many risk exposures are unavoidable, but can still be managed to reduce the severity and frequency of loss. An example may involve the installation of a sprinkler system to reduce the effects of a fire. Risk Financing techniques
are used to react to the financial obligations imposed by a loss. This may
include the use of insurance, various types of retention, non insurance
contractual transfers, or (more commonly) a combination of all of these. Why use an Independent Risk Management Consultant? Common problems associated with risk management programs may include: lack of a definite structure; inadequate insurance coverage; cost containment; difficulties in working with the current agent, broker, actuary, or TPA; a lack of knowledge about insurance; or a lack of staff to serve your needs. Many companies have found that out-sourcing risk management can be more cost efficient than having a full-time risk manager on staff. Commercial Risk Consultants can also provide "by project" to more specifically meet an organization's needs. The Process 1. Identify. The first step is to perform a Risk Assessment. This allows CRC to become familiar with an organization and its attitudes towards risk management. This may involve a complete review of financial statements, contractual agreements, various property listings, loss history, and past insurance policies; interviews with department heads; and site visits. The purpose of this extensive process is to identify the organization's principal risk exposures, and the techniques currently in place to control and finance them. 2.
Evaluate. Once the risk exposures have been identified, they will be
quantified by levels of frequency and severity of loss. It is important to
understand the potential financial impact of each exposure in order to
determine the best ways to manage it. Frequency refers to how often a loss
occurs, and severity refers to how expensive one individual loss could be. 3.
Implement. The feasibility of implementing various types of risk
management techniques will then be examined based upon the nature of the loss
exposures and the organization's ability and willingness to retain loss. The
best combination of risk control and risk financing techniques for the
organization will then be selected and implemented. If insurance is utilized,
CRC will prepare the specifications, receive and review proposals, negotiate
terms and conditions with prospective insurers, and make recommendations for
coverage. 4.
Monitor. The final and often most important step in the risk management
process is to monitor the program. Is it performing as it should? Have the
operations, personnel, and property holdings of the organization changed? Has
the law changed? Has the insurance market changed? These items can have a
significant impact on the effectiveness of a risk management program. Other Consulting Services Policy Audits -
involve a review of the actual insurance policies with the specifications for
accuracy. Insurance Summary - a report which summarizes an organization's insurance program
in layman's terms. Reports can be tailored to include the data which the
client wants to have presented. Budget Projections - are provided based upon changes in the client's operation,
personnel, assets, and loss experience; changes in insurance related laws;
and changes in the insurance marketplace. Claims Resolution Assistance - is provided when the client is having difficulty resolving
larger claims with its insurance carrier. Specifications for TPA or Actuarial Services - can be developed for organizations with larger, self-funded
risk management programs. Proposals would be received from actuarial firms
and third party administrators, negotiations would commence, and CRC would
then make a recommendation for the award of the contract necessary to
initiate the program. Retrospective (retro) Insurance Program
Reconciliation - involve premium payments or
credits based upon insured losses which occurred in prior years. Substantial
sums of money are often at stake in this process.
Claims Analysis Reports - can be created using color charts to illustrate the
historical loss experience of an organization. These reports typically show
either the effectiveness of the overall program, or specific areas where
improvement is needed. Review of Contracts - Liability is frequently transferred or assumed contractually
by organizations. CRC can review these contracts to clarify the existence or
extent of this liability as it relates to the scope of the current property /
liability insurance program. Certificate of Insurance Management - Certificate of insurance are often requested from contractors
as proof of insurance. CRC can establish a policy for your organization to
require proof of certain types of insurance from contractors before any type
of work commences. CRC will review these certificates when received for
adequacy and acceptability. Training can also be provided enabling the client
to perform this task in-house. General Risk Management Consulting - There is often daily correspondence with clients concerning
risk management related issues or concerns. Questions can be answered
concerning the implications of certain activities undertaken by the client. |
|
CRC
> Services > Employee Benefits Consulting Services |
|
Employee
Benefits Consulting Services Back to Top Risk Management involves the
management of an organization's property, income, liability, and human
resource exposures to accidental or unforeseen loss. A properly
structured employee benefits program is an integral part of this process.
Consulting is generally provided for all types of employee welfare benefit
programs. CRC can provide assistance
with such common problems as: cost containment, employee dissatisfaction,
limited options, or a lack of time / staff to administer the program. CRC would provide an independent
review of your organization's current benefits program(s) to determine cost
effectiveness and desirability. Based upon this review, specifications would
be developed for benefits procurement. CRC would then review the proposals,
negotiate terms and conditions, and make recommendations concerning the best
program(s) for your organization.
|
|
CRC > Services > Due Diligence Studies |
|
Due Diligence Studies Back to Top Mergers and acquisitions
typically involve a comprehensive review of a company's financial
disposition. Within this process, the prospective parent company may seek to
ascertain a better understanding of the acquired company's debt status, cash
flow, overall financial structure, risk exposures, and the overall
effectiveness of its risk management program. A risk management review is
essential to gain an understanding about the scope of risk exposures and
potential liability that the acquiring company may face. The Process Commercial Risk Consultants
would generally work with either an accounting firm or directly for the
acquiring company. The project would involve a comprehensive review of
various financial documents, annual reports, sales and product literature,
property listings, contractual agreements, insurance policies, loss
information, and administrative policies and procedures. |
