Navigating the New Era of Risk Management: Insights from Triple-I CEO Sean Kevelighan
The Evolving Landscape of Risk
In a recent episode of the Predict & Prevent podcast, Triple-I CEO Sean Kevelighan emphasized the growing need for comprehensive risk management strategies in the face of increasing economic turbulence, political unrest, climate catastrophes, and the lingering effects of the global pandemic. Kevelighan highlighted that these forces are not just affecting risk-management professionals but also homeowners, consumers, businesses, and policymakers, making it imperative for everyone to understand and mitigate risks.
The Role of Technology in Predicting and Preventing Losses
Kevelighan discussed the role of telematics and the Internet of Things (IoT) in helping policyholders anticipate and mitigate losses. He noted that while automobile telematics can offer discounted insurance premiums, their primary purpose should be to enhance driver safety. This shift in focus from reactive to proactive risk management is crucial, especially as the frequency and severity of natural and manmade catastrophes continue to rise. According to a recent report by Swiss Re, insured losses from natural catastrophes and man-made disasters reached $120 billion in 2022, a 30% increase from the previous year.
Collective Responsibility and the Future of Risk Management
Kevelighan underscored the importance of collective responsibility in predicting and preventing costly losses. He argued that simply purchasing an insurance policy is no longer sufficient; a change in mindset is required. This collective approach involves all stakeholders, including insurers, policyholders, and governments, working together to reduce risks. For instance, the Federal Emergency Management Agency (FEMA) has been actively promoting resilience strategies to mitigate the impact of natural disasters. As Kevelighan aptly put it, "Nobody wins from a loss."
In conclusion, the evolving landscape of risk demands a proactive and collective approach to risk management. By leveraging technology and fostering a culture of responsibility, we can better prepare for and mitigate the impacts of future risks.
For readers, a useful tip would be to stay informed about the latest risk management strategies and technologies, and to engage with insurers who prioritize proactive risk mitigation.