01

Deploy risk capital more intentionally.

Focus on what, how, and why you are buying. Continually reevaluate your risk appetite, retentions, limits, and attachments in light of ongoing changes to your company’s financial conditions and operations, the economy, and overall insurance market. Explore and evaluate alternative risk strategies that can help you become more efficient in the next hard market.

02

Highlight risk management and loss prevention measures in underwriting submissions.

With insurers touting their focus on risk selection, differentiation is crucial. Buyers that can present themselves as best-in-class risks by demonstrating strong loss prevention and mitigation protocols, claims management, and legal defense strategies will realize more favorable outcomes.

03

Strengthen program structures globally and domestically.

Soft markets offer the temptation to focus primarily on premium savings. But facing constant change, businesses cannot simply roll over insurance programs. To ensure you have the right coverage, revisit your global structures at least on an annual basis. Broaden terms, remove exclusions, clarify ambiguous language, and lock in multiyear rate guarantees. Press insurers — especially those writing multiple lines — to expand capacity and strengthen relationships with carriers with strong balance sheets.

04

Work with the right global broker.

Choose an advisor who understands the global risk and insurance landscape and can help you make smarter, more informed decisions. Challenge your broker to:

• Think about your insurance purchases holistically.
• Help you determine when global programs or locally admitted coverage is the right choice.
• Strategically access capacity from both domestic and international sources.

05

Rethink renewal planning.

Anticipate challenges by working with your insurance brokers to assess market conditions well in advance of renewal. Rather than simply pocketing premium savings, consider using your capital more strategically by aligning insurance expenditures to help manage volatility and reduce financial unpredictability.

06

Embed analytics into key decisions and processes.

Advanced modeling and AI-driven insights can help buyers identify opportunities to improve the financial efficiency of their programs. Buyers with robust claims data and strong loss modeling capabilities will also be in a better position to negotiate structure, pricing, and terms.

07

Invest in scenario testing.

Work with your broker, insurers, and other stakeholders to review and test your response to various loss scenarios that could arise both domestically and globally. Dedicate time and resources in building and testing incident response and business continuity plans.

08

Approach risk management more strategically.

Invest in expanding your team’s skill sets, consider how new tools can help you mitigate risks, and explore other ways to enhance your organization’s risk management function.