The Challenge
A client in the chemical manufacturing industry asked Marsh’s Analytics team to conduct a property risk finance optimization study. At the time, the client’s property program was managed by another company, but they were interested in how Marsh could help them address expected capacity constraints and renewal price increases.
Marsh’s Analytics team needed to analyze the limits purchased to assess coverage for the company given the high cost of and limited appetite for excess capacity in the market. By providing data-driven insights into the cost of risk, they knew they could enhance efficiency.
The Solution
The Marsh team used insights from Blue[i] RFO Analytics and their own industry expertise to demonstrate that lowering limits and redeploying capital elsewhere could improve overall efficiency despite an increase in total premium. Moreover, lowering limits had a negligible impact on their balance sheet exposure due to the inefficiency of non-renewed excess limits.
The Results
Marsh’s analytics were a key differentiator and the client has since expanded their usage of Marsh analytics to support their risk decision-making.
Blue[i] Analytics: Insights that help you turn risk into possibility.
Marsh’s Blue[i] Risk Finance Optimization Analytics is our digital solution that provides real time and actionable insights to help you make informed decisions across your risk portfolio. With loss projections tailored to your unique risk profile, we can help you adjust your strategies and assess your risk appetite at both the portfolio and product line level. Assessing your risk appetite, exposure to insurable risk, cost of capital, and cost of insurance allows you to determine how different program options would impact your organization. You get the comprehensive answers you need, when you need them, and view analytics tools and modeling in real time.
A modern approach to risk management
Successfully navigating the risk landscape requires a commitment to take on the challenges of our time, reimagining risk and resilience. Our approach provides you with sharp, actionable insight for confident risk management decision-making, powered by data intelligence.
