Exposure Management – Go Granular to Mitigate Risks
In recent times, we have witnessed the insurance industry getting repeatedly redefined by ever-changing client demands based on unprecedented uncertainties. With every new product launched by insurers, the need for a holistic exposure management plan only heightens further. The Covid-19 pandemic related losses to the insurance sector has highlighted the need for a more analytical perspective and a personalized approach to risk mitigation when it comes to exposure management, a task that requires that middle managers perform a daily assessment of the insurer’s risk management plan. Lloyd’s said that Covid-19 pay-outs would eventually be on par with 9/11, which cost the insurance industry over $47Bn. With enterprises still reeling from the economic fallout of the pandemic, it becomes imperative that insurers focus more on controlling risk exposures in the underwriting process. The larger goal of risk and exposure management is to guarantee, as m...