Does my Business Really Need a Risk Consultant?
Many agents will tell you that you do not need a consultant, as they will take care of everything for you, including exposure or risk identification as well as selecting the best carrier for your organization. The principle here is similar to that of an audit in accounting; the same firm that does the accounting does not audit their own work. The idea of “another pair of eyes” is important here.
In many instances (well over half of the time) upon reviewing existing operations of an organization along with the related risks, we are able to assist those responsible for the long-term viability of the company, with making necessary changes. These changes include significant revisions in the Insurance and Risk Management program to better address what is necessary, and what had been overlooked or not acknowledged, often referred to as coverage gaps. The time to take care of these is before a loss occurs, particularly a serious one that could impair the organization’s ability to operate, or worse. No one wants to “take a hit” that is avoidable; but, how do you know?
Quite often, we find that what has occurred is that the same program has been carried over from year to year, and the primary focus has been on pricing.
In our experience over many years, most of which were as agents, there have been, and continue to be, some consultants who feel a need to keep things churning, in order to somehow justify their existence. As a result, many agents try very hard to talk their clients out of independent reviews. As with anything else, not all consultants are the same. We take an entrepreneurial approach, doing only what is necessary, and work to preserve existing relationships where it makes sense, and recommending changes where that makes sense. Ultimately, of course, these decisions are always made by the owners and/or managers of the organizations with whom we engage.
Contact us for an independent and unbiased review.
