IRMI Update—Issue #125
An E-mail Newsletter for Risk and
Insurance Professionals
ISSN: 1530-7948
November 30, 2005
In This Issue
Colleague,
Each year, just prior to the IRMI Construction Risk Conference,
we survey those who have registered to learn their views on the
marketplace and issues of the day. A summary report is provided
to all attendees who complete the post-conference online evaluation.
While we accumulated a substantial amount of interesting data regarding
the views of construction risk professionals this year, the responses
to one question in particular jumped out at me.
This question, posed to risk managers and financial officers,
was "Does your agent/broker disclose all income it receives as a
result of writing your account to you?" There were three multiple
choice answers: (1) Definitely yes; (2) Supposedly so, but I wonder;
and (3) No.
Like me, you may be astonished to learn that 62 of 175 risk managers
(35%) chose the second answer ("Supposedly so, but I wonder"). Doesn't
this mean that over one-third of this group does not fully trust
their insurance representatives? What a graphic reminder of the
effects of the events of the past year on our industry!
Trust is the keystone of successful partnerships between agents/brokers
and their clients. Surely it isn't possible to maintain long-term
relationships with clients without gaining their trust. Thus, those
firms—or those individuals—that are most successful in gaining trust
and confidence from their clients are in the best position to succeed
in the future.
So what steps can an agency/brokerage take to gain the trust
of their clients? What about you as an individual? What do you do
to gain the trust and confidence of others? If you are a risk manager,
how does an agent/broker earn your trust? [See
reader
comments].
In case you are wondering, 77 or 44% of the respondents answered
"Definitely yes" to the survey question and another 21% said "No."
On another note, I am proud to announce that we recently published
the second edition of
Insurance for Defective Construction. Pat Wielinski did
an outstanding job updating and expanding his book. If you sell,
underwrite, buy, or litigate construction liability insurance you
need to read it. For more information go to
Products & Services.
Thank you for subscribing to IRMI Update.
Have a great day,
Jack
Jack P. Gibson, CPCU, CRIS, ARM
President
IRMI
A Better Way to Manage Pain Claims—A
continuing challenge of managing workers compensation and disability
claim costs is separating real from exaggerated pain complaints
and making sure medical diagnoses are correct. A survey has found
that solving these problems can reduce pain treatment costs by as
much as $950,000 per case.
Services are now available for claims managers, underwriters,
and others to refer patients to Internet-based pain validity and
diagnostic confirmation tests that provide accuracy in the 90 percentiles.
Having then clarified the needs of claimants, independent medical
examinations (IMEs) and surveillance initiatives can be most efficiently
applied. In this first crucial identification step, you can reduce
expenses and allocate resources efficiently.
What do you call the physician that finishes last in his class?
"Doctor"! It is common knowledge that not all physicians are equal,
and yet often all medical opinions are treated equally. Correct
diagnosis and treatment will help patients recover and clear millions
of dollars reserved for future medical costs. Partnering with a
true expert in the field of pain validity and diagnosis will result
in reduced costs and improved return-to-work rates.
By: Jeremy Brown
MIMS International
Towson, MD
www.mimsintl.com/
Suggest a Risk
Tip. Send us a practical tip (less than 300 words) for
identifying and managing risks, buying insurance, managing claims,
or filling gaps in insurance coverages.
Submit your tips.
We'll acknowledge your contribution as we did for Jeremy.
There are now 732 risk management and insurance articles on IRMI.com.
Below you'll find summaries of some recent additions with links
to the articles.
-
Insuring
Liability for Third-Party Claims Seeking Lost Profits—Mike
Rossi explains coverage for lost-profit claims under
policies designed to address technology, media,
Internet liability, and network security liability.
Variations and caveats are provided.
-
Katrina's Lessons—Many businesses failed
due to Katrina because they didn't plan for the
worst. David Nicastro explains that consistent focus
and action can pay off after an unexpected catastrophic
loss.
- New York Courts Rule
on Homeowners Policy Provisions—In this month's
Case of the Month column, Kevin Merriman describes
two New York cases dealing with the uninsured premises
exclusion and the noncumulation clause in homeowners
policies.
Attend one of the most highly rated IRMI seminars and get a 15%
discount when registering online before January 7 .Tech-eRisk 2006
will help you manage and properly insure the potentially catastrophic
technology, media, and e-business risks faced by companies in any
industry. If you are worried that your company may not be properly
protected against these risks—or you think you're missing out on
lucrative insurance sales opportunities because you don't understand
these new coverages—you should attend this seminar. See a full description
of what you'll learn, plus the agenda, dates, and locations here.
IRMI Update is sent to subscribers by plain text e-mail twice
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