GLOBAL RISK MANAGEMENT — DEALING WITH THE UNEXPECTED
Global Finance presents the winners of its Best Global Risk Management Providers 2013 Awards, incorporating our Best Global Insurers and Best Derivatives Providers Awards.
Despite vast potential opportunities, the global business environment remains fraught with complex and emerging risk. For companies in all areas of the world, managing risk—from natural disasters to evolving cyberexposures, widespread political unrest and heightened criminal activity—is imperative for effective governance and sustainable performance.
Meanwhile, as more firms operate internationally, their insurance programs are complicated by an array of regulatory and tax requirements that often vary by country.
“Organizations have operations and interests in most parts of the world today,” said Franck Baron, group general manager, risk management and insurance at International SOS and chairman of Parima, the Pan-Asia Risk & Insurance Management Association. “It is critical to select insurance providers who have operations and capabilities in all regions of the world in order to cope with these business needs.”
Baron was one of 13 prominent risk management and financial executives (see accompanying panel member profiles) who helped Global Finance identify the best insurers and risk management providers of key coverage areas and risk services globally and in each region of the world. Along with the opinions of the panelists, the editors evaluated results of a worldwide survey that drew responses from 1,200 readers.
In the global category, AIG was selected as the best overall insurer, as well as the best insurer for property, environmental liability, directors and officers, employment practices liability and cyberrisk. Allianz is best global casualty insurer, as well as best global crime/fidelity insurer. Lloyd’s was selected as best global political risk insurer, kidnap and ransom, and supply chain/trade disruption insurer, and Euler Hermes, as best global trade credit insurer. Aon won best global insurance broker.
The survey focused on property and casualty insurance. In addition to the global winners, top insurers were recognized overall and by coverage line in seven regions of the world: US/Canada, Europe, Central/Eastern Europe, Latin America/Caribbean, Asia Pacific, the Middle East, and Africa.
The survey participants and panelists were asked to select insurers according to the following criteria:
• Innovation/creativity (ability to develop and offer meaningful solutions to risk issues).
• Capacity, pricing and coverage terms.
• Financial security/stability (as qualified by various ratings agencies where available, and buyer or insurance broker perceptions when ratings are not available).
• Reach (availability of underwriting or service resources on the ground in areas where risks exist and coverage is provided).
• Service delivery, especially with respect to claims handling and pre-loss service capabilities.
The weighting of the criteria was left to the respondents and panelists, as they are likely to differ by region and product line. Around the world, the need for innovative, effective and financially secure insurance and risk providers is greater than ever.