An increasingly litigious environment, larger punitive awards, rising workers’ compensation costs, complex global regulations, these trends can translate into greater liability risks that businesses must successfully manage.
Marsh’s Casualty Practice aims to address these challenges through MPACTSM, our integrated approach to reducing all elements of casualty-related total cost of risk (TCOR). We can help you break down every component of your TCOR, identify and prioritize cost-reduction opportunities, and optimize your casualty insurance program.
Our casualty teams, supported by specialists in workers’ compensation, international casualty, excess liability, and other areas can serve as your advocates, capitalizing on years of experience to tailor a customized risk management solution to meet your unique needs. And with our proprietary benchmarking and analytic tools, we can help you to optimize purchase decisions, determine appropriate retentions and limits, allocate resources strategically, and reduce costs.
The result: Lower total cost of risk, less volatility in insurance pricing, better claims recovery, compliance with international regulations, and protection from the unexpected.
Risk Transfer Premium
Specialized by industry, geography, and buying style, our brokers have the expertise to navigate a dynamic marketplace and advocate on your behalf to help secure the most competitive casualty insurance program available.
By differentiating each client’s risk profile in the marketplace, we deliver superior program placement results. We apply our analytics and market experience with a thorough understanding of your unique characteristics and priorities. And we collaborate with you to develop and execute a comprehensive strategy.
We can provide ongoing guidance to you regarding your loss profile and cost-reduction opportunities, and engage our colleagues in Marsh Risk Consulting to help you implement pre- and post-loss mitigation techniques, including those related to workplace and fleet safety.
We use proprietary tools to perform loss diagnostics to identify loss drivers and trends. Then we customize a plan to reduce your loss costs through pre- and post-loss strategies with proven returns on investment. Our diagnostic tools offer crucial insights to manage claims, lower administration costs, reduce liabilities, and optimize insurance carriers’ perception of your risk profile.
Our brokerage colleagues team with hundreds of Marsh claims consultants — specialized across industries and geographies — to develop solutions and build resiliency to achieve short- and long-term objectives before, during, and after a loss.
Backed by our proprietary tools and strong market relationships, we can help you:
- Efficiently resolve complex and potentially contentious claims.
- Compare administrators, add transparency to claims administration pricing, and reduce program cost.
- Quantify lost opportunities in claims handling and prioritize potential program changes.
With a comprehensive understanding of your business, Marsh’s casualty experts apply experience gained from the industry’s largest book of loss-sensitive casualty accounts to deliver creative and effective solutions to manage collateral. Our Collateral Solutions Group (CSG) consists of senior casualty leaders with deep financial expertise and strong relationships with all leading carriers and their credit officers. Our colleagues work with this team to understand your financial priorities and then structure a program that balances the lowest amount with the right form of collateral.
Implied Risk Charge
A traditional view of TCOR captures expected costs in a risk management program but does not account for the volatility that a company assumes via its program structure — retentions, limits purchased, treatment of allocated loss adjustment expenses, coverage choices, and other decisions. Unexpected and uninsured losses, such as catastrophic claims that exceed the limit purchased or higher than projected retained losses absorb capital; the implied risk charge represents the cost of that capital.
Marsh’s Casualty Practice collaborates with colleagues in Marsh Global Analytics to simulate tens of thousands of potential loss outcomes based on selected loss distributions in order to quantify the implied risk charge. Such analysis helps our clients to make more informed risk financing decisions and choose the best casualty insurance program structure to meet their needs.