Risk Management Expert Witness On “The Best In Class Risk Manager” Part 2

Risk management expert witness Alan F. Shirek describes the job of the risk manager:

The “best in class” risk manager has a relationship with the CEO and meets periodically with the Board of Directors. The risk manager is respected for his or her knowledge, experience and ability to assist the organization in accomplishing its major goals while protecting assets, income stream and employees.

How does a risk management consultant add value to such an operation? Primarily by helping the risk manager solve problems that are beyond his or her level of direct experience and by taking on tasks requiring time that the risk manager does not have available.

Such tasks or projects may include developing ways to enhance the effectiveness of insurance brokers or agents, insurance carriers, third party claims administrators or other outside vendors. They may include developing communication tools that will enhance the ability of the risk management department to assist the operating companies or departments. They may include projects designed to provide an independent appraisal of key catastrophic exposures to loss. And they may involve analysis of certain significant legal exposures that could be difficult to absorb without a negative impact on corporate earnings.