Emerging Solutions in Risk Management

Emerging solutions in risk management are gaining popularity in the market due to the changing landscape. One example is risk retention groups, which were introduced in 1980 to address hard market issues for businesses. Although they were less prevalent in the past, they are becoming more commonplace now. The agency acceptance and perception around these risk retention groups play a crucial role. These emerging solutions are not reinventing the wheel but rather going back to effective solutions from the past. For instance, one success story involved a ready mix concrete operation that couldn't afford upfront costs for a layered solution. By suggesting risk-oriented exclusions wording, their premium reduced from $857,000 to $420,000, keeping their business afloat.