As noted in Sunday’s post, the Risk and Insurance Managers Conference was held in Orlando this week. In a reflection of the economy (and most of our stock portfolios), the attendance was down 40% over last year. Corporate risk managers are facing budget cuts just like everybody else. Even the large insurance broker, Willis, reflected the austere mood by having no booth and greeting people in an open area.

Continue Reading RIMS Convention Shows Trends in Insurance Industry

The Risk and Insurance Management Society (RIMS), kicks off its annual convention in Orlando today. One of the basic principals of risk management is the avoidance of loss. A second principal is to mitigate the effect of losses. These are win/win situations for the policyholder and the insurance company because financial and time resources are not used on replacement of otherwise unnecessary losses. Indeed, if practiced widely, insurance premium rates should be reduced. It has been my position that loss prevention and mitigation must be part of public policy and should be reflected in building codes, life safety codes, and taxation policy. The benefit would be far greater than just reduced insurance premiums. Just as insurance is a societal product, risk management and loss prevention are socially significant. This should be reflected in our laws.

Continue Reading RIMS Knows that to Avoid Coverage Issues is to Avoid Losses: A Good Lesson For All