Risk engineering has evolved significantly since I first cut my teeth in risk management. Changing technology, business practices and shifting risk landscapes have all played their part.
Risk management today
Change is constant in the risk space. As we transition from the peak of the hard market created during the Covid years, risk managers have had to adapt their insurance strategies. It’s important to capitalise on new cost-saving opportunities, and focus on comprehensive risk mitigation in this new operating environment.
To accommodate this need, insurers are developing improved risk engineering capabilities. They’re becoming more data-driven, proactive, and collaborative. We’re also seeing a greater focus on emerging risks including cyber threats and sustainability challenges.
Some insurers are also turning to advanced technologies and analytical tools to provide enhanced risk management solutions, but is this enough? How do clients choose between one insurer and another? Differentiation is key.
Taking a personal approach
Insurers offering a personalised risk consultancy service should be at the heart of every large-scale insurance opportunity. It’s arguably the key differentiator between insurer offerings today.
Every client has unique risks based on their industry, operations, and geographic locations. By taking a personal approach through deep-dive consultative support, an insurer can tailor a risk solution to meet the specific demands and circumstances of even the most challenging of insurance requests. The aim of this approach is to ensure the client receives strategic support that addresses their individual vulnerabilities.
Building a personal, consultative relationship is key. It allows the insurer to gain a deep understanding of their client’s business operations, risk tolerance, and objectives. This means better advice and more personalised recommendations that align with the client's goals. Our Risk Consulting proposition, designed for large-scale insurance projects, is underpinned by this approach and works to great effect.
Personal interaction and the sharing of experiences between the insurer and insured creates confidence. Clients are far more likely to trust the recommendations and expertise of an insurer who takes the time to understand their business and demonstrates a genuine commitment to their success. This depth of relationship is essential for building long-term partnerships and retaining clients over time. It’s a real differentiator - if fostered well, everyone’s a winner!
This added dimension found in a 1:1 consultancy model, used alongside large books of business, allows a thorough assessment of the client's operations, identifying potential risks and pinpointing vulnerabilities. By engaging directly with the client and conducting site visits or interviews, insurers using this approach can uncover hidden risks that may not be apparent through standard risk assessment methods.
This more personal approach helps clients mitigate risks before they escalate into costly incidents. Technology is a supporting factor but without a deep dive, personal assessment in large-scale or complex situations, risk vulnerabilities can be missed.
This forensic risk analysis allows insurers to work collaboratively with clients and their brokers to develop proactive risk management strategies. Instead of simply reacting to incidents as they occur, the insurer can help clients implement preventive measures and contingency plans to minimise the likelihood and severity of losses.
It’s good to talk
I’m a people person and recognise the value of personal interaction and the sharing of expertise face-to-face. By offering personalised, risk engineering consultancy services, we as the insurer demonstrate a commitment to adding value beyond insurance coverage. Clients appreciate us going the extra mile to support their risk management efforts and help them achieve their business objectives.
A value-added service like this helps differentiate one insurer from another in a competitive market, and, in our experience, enhances client loyalty. A personalised solution may not be necessary, however. Access to tried and tested methods may be a better option. Whatever your situation, a best-in-class risk engineering team will advise you and your broker accordingly.
To sum up, taking a personal, consultative approach to risk engineering allows insurers to provide individual solutions where appropriate, build trust with clients, identify risks more effectively, and deliver value-added services that support client success. By investing in personalised interactions and customised risk management strategies, insurers can strengthen client relationships and differentiate themselves in the marketplace.
Making your business safe and secure
Helping businesses understand the risks they face, and what they can do to mitigate those risks is at the heart of RSA’s proposition. Our team of over 60 Risk Consultants, from a wide variety of backgrounds and experiences, work closely with our underwriters and claims teams.
Together, we help clients understand their risks. We then work to plan, implement, and monitor effective risk management strategies. This deep, personal, consultative process is what we pride ourselves on. Everything we do is designed to safeguard our client’s people, assets, and reputations.
This article forms part of a series covering the latest views and insights from RSA’s Risk Consultancy team. Find out more about our Risk Consulting offering.
