I recently returned from RISKWORLD in Chicago, and as a first-time attendee, I
was blown away by the sheer scale of it all. RISKWORLD is the annual conference held by
RIMS®, and this year marked the 75th
anniversary of RIMS and the 62nd year for the conference. With over 11,000 professionals
from more than 70 countries in attendance, the event was a powerful reminder that risk
management is evolving faster than ever. The conference theme, "Engage Today. Embrace
Tomorrow," was particularly apt, as the subject of many of the educational sessions and
panels focused on artificial intelligence (AI) and future tech. After nearly a full week
of attending sessions and connecting with my fellow risk management colleagues, here are
a few key takeaways.
AI Is Here to Stay
AI is not the passing fad it was once thought to be. If you haven't yet encountered AI in the workplace, you soon will. This year marks a turning point in how AI is being applied in risk management. From automating claims processing to enhancing predictive analytics for underwriting, AI is beginning to deliver measurable results.
However, many of the sessions were focused on the attendant risks
brought about by using AI in the workplace, including model transparency, data bias,
and regulatory scrutiny. Another issue that was widely spoken about was the
importance of AI governance. According to one panel member, "It's no longer enough
to deploy a tool; organizations must understand how that tool makes decisions."
"Explainable AI" became a key term, with speakers emphasizing the need for models
that risk teams and regulators can audit and validate.
Social Inflation Is a Thing
Social inflation, coupled with the increasing prevalence of
litigation funding, is changing the casualty risk landscape. Casualty lines are
facing mounting challenges due to the rise in nuclear verdicts and the growing
influence of third-party litigation financing. These developments are contributing
to heightened claims severity and unpredictability, placing additional strain on
underwriting and pricing strategies. In response, risk managers are being advised to
engage in renewal discussions well in advance and to be open to exploring
alternative risk-sharing mechanisms that can help mitigate exposure.
Captives Are Stepping Up
Captives and alternative risk financing were also prevalent topics
at this year's conference. With ongoing hard market conditions, more organizations
are looking to retain risk in creative ways, and captives were front and center.
Many discussions centered around the fact that captives are no longer seen as a last
resort. Instead, they are being positioned as strategic tools that can actually
improve performance. Speakers explained how captives are being used to manage costs,
support loss control, and tailor coverage to an organization's risk profile.
Enterprise Risk Management (ERM) Was a Dominant Theme
No longer seen as simply a reporting function, multiple sessions
focused on how enterprise risk management (ERM) is becoming a real part of business
strategy. Focus is shifting away from basic compliance to actually using ERM to
shape how companies make decisions. What has changed is how much more data that risk
teams are pulling in across their enterprise. In the past, organizations were simply
filing quarterly risk reports, but now it's not uncommon to see some companies
running weekly meetings and using technologies such as dashboards and scenario tools
to flag issues early.
Humans Are Irreplaceable
For those who may feel like the pace of technological change and increasingly sophisticated AI tools are taking over traditional roles and pushing workers out, there's a silver lining. Leadership in a tech-driven world requires a human touch. Keynote speakers like Holly Ransom and Rachel DeAlto reminded us that empathy, relatability, and authenticity are essential leadership traits in an increasingly digital workplace. "As technology transforms how we work, the human element is more important than ever."
Risk Managers Matter
A final takeaway from RISKWORLD 2025: The role of the risk
professional continues to expand. Risk management is becoming a central part of how
organizations run. Whether it's helping shape AI policies, exploring new ways to
finance risk, or breaking down silos with ERM, the risk function is stepping into a
bigger, more strategic role.
Opinions expressed in Expert Commentary articles are those of the author and are not necessarily held by the author's employer or IRMI. Expert Commentary articles and other IRMI Online content do not purport to provide legal, accounting, or other professional advice or opinion. If such advice is needed, consult with your attorney, accountant, or other qualified adviser.
I recently returned from RISKWORLD in Chicago, and as a first-time attendee, I was blown away by the sheer scale of it all. RISKWORLD is the annual conference held by RIMS®, and this year marked the 75th anniversary of RIMS and the 62nd year for the conference. With over 11,000 professionals from more than 70 countries in attendance, the event was a powerful reminder that risk management is evolving faster than ever. The conference theme, "Engage Today. Embrace Tomorrow," was particularly apt, as the subject of many of the educational sessions and panels focused on artificial intelligence (AI) and future tech. After nearly a full week of attending sessions and connecting with my fellow risk management colleagues, here are a few key takeaways.
AI Is Here to Stay
AI is not the passing fad it was once thought to be. If you haven't yet encountered AI in the workplace, you soon will. This year marks a turning point in how AI is being applied in risk management. From automating claims processing to enhancing predictive analytics for underwriting, AI is beginning to deliver measurable results.
However, many of the sessions were focused on the attendant risks brought about by using AI in the workplace, including model transparency, data bias, and regulatory scrutiny. Another issue that was widely spoken about was the importance of AI governance. According to one panel member, "It's no longer enough to deploy a tool; organizations must understand how that tool makes decisions." "Explainable AI" became a key term, with speakers emphasizing the need for models that risk teams and regulators can audit and validate.
Social Inflation Is a Thing
Social inflation, coupled with the increasing prevalence of litigation funding, is changing the casualty risk landscape. Casualty lines are facing mounting challenges due to the rise in nuclear verdicts and the growing influence of third-party litigation financing. These developments are contributing to heightened claims severity and unpredictability, placing additional strain on underwriting and pricing strategies. In response, risk managers are being advised to engage in renewal discussions well in advance and to be open to exploring alternative risk-sharing mechanisms that can help mitigate exposure.
Captives Are Stepping Up
Captives and alternative risk financing were also prevalent topics at this year's conference. With ongoing hard market conditions, more organizations are looking to retain risk in creative ways, and captives were front and center. Many discussions centered around the fact that captives are no longer seen as a last resort. Instead, they are being positioned as strategic tools that can actually improve performance. Speakers explained how captives are being used to manage costs, support loss control, and tailor coverage to an organization's risk profile.
Enterprise Risk Management (ERM) Was a Dominant Theme
No longer seen as simply a reporting function, multiple sessions focused on how enterprise risk management (ERM) is becoming a real part of business strategy. Focus is shifting away from basic compliance to actually using ERM to shape how companies make decisions. What has changed is how much more data that risk teams are pulling in across their enterprise. In the past, organizations were simply filing quarterly risk reports, but now it's not uncommon to see some companies running weekly meetings and using technologies such as dashboards and scenario tools to flag issues early.
Humans Are Irreplaceable
For those who may feel like the pace of technological change and increasingly sophisticated AI tools are taking over traditional roles and pushing workers out, there's a silver lining. Leadership in a tech-driven world requires a human touch. Keynote speakers like Holly Ransom and Rachel DeAlto reminded us that empathy, relatability, and authenticity are essential leadership traits in an increasingly digital workplace. "As technology transforms how we work, the human element is more important than ever."
Risk Managers Matter
A final takeaway from RISKWORLD 2025: The role of the risk professional continues to expand. Risk management is becoming a central part of how organizations run. Whether it's helping shape AI policies, exploring new ways to finance risk, or breaking down silos with ERM, the risk function is stepping into a bigger, more strategic role.
Opinions expressed in Expert Commentary articles are those of the author and are not necessarily held by the author's employer or IRMI. Expert Commentary articles and other IRMI Online content do not purport to provide legal, accounting, or other professional advice or opinion. If such advice is needed, consult with your attorney, accountant, or other qualified adviser.