It is a very common situation even in companies with great insurance budget that the board attention on corporate insurance issues is much lower than it should be. This situation could change dramatically in case of a large loss. Unfortunately it is already late to improve the risk financing situation of the company. Of course the reason for the loss is coming from the missing coverage or underinsurance of risks belongs to the insurance manager.
iRiskProfile helps to share or transfer this responsibility. Our experience is that to sharing this responsibility many times leads to a better coverage that is of course better for both the company and all the stakeholders!
In this example the company had a great insurance budget (between 1-5 M EUR) used an international broker. Despite of the 17 existing corporate insurance contracts the insurance management had great fear concerning some uncovered risks but they experienced the above mentioned low attention by the Board so they were not able to do anything.
We prepared the test of the insurance program and identified 7 totally uncovered and 4 underinsured catastrophe risks !
The insurance manager got an A4 profile which could be a real baseline for improving the risk financing situation! By presenting this profile, insurance management shared the risk of underinsurance with the board.