WIN Magazine - Summer 2014 - (Page 41)

FEATURE ORGANIZING EMERGING RISKS: AAMGA FORMALIZES A COLLABORATIVE APPROACH T HE AAMGA BOARD of Directors has created a new standing committee within the wholesale insurance trade association. The Emerging Risks Committee will seek to serve the membership and the industry by engaging interested wholesale professionals across all segments of the marketplace, and to collaboratively evaluate, discuss and provide useful knowledge on how to better analyze, manage and write these new risks. Gary Romay, Marketing Director and Karen Alford, Marketing Consultant, both at Scottsdale Insurance Company proposed the concept. Although risk is a constant factor, most insurance professionals in the risk mitigation business, do not have the time, energy or resources to focus on emerging risks. According to a joint study by Oliver Wyman and the Financial Times, only half of senior executives' at large global organizations indicated they integrate emerging risk information into their strategic planning process. Organizations need to prepare for the new reality that emerging risks increasingly impact their earnings and long term strategy. Emerging risks are those that arise from economic, market, legislative, scientific, technological or socio/ geo-political acts that impact the wholesale insurance industry and business. The increasingly interconnected global economy is also adding to the complexity of emerging risks. These risks may pose unknown threats or even opportunities. In order to mitigate the exposures and identify business potential, it is vital to fully understand emerging risks at their earliest stages. It is also important to increase awareness and share knowledge so insurance professionals can make sound and appropriate decisions within their own organizations. The biggest challenge for a majority of wholesale professionals is keeping abreast of all the emerging risks impacting the industry. Since the AAMGA's recent expansion of its membership opportunities to all qualified underwriting facilities trading on a wholesale platform, including MGA's, MGU's, program mangers, aggregators and brokers, it was deemed prudent to also expand the manner by which the AAMGA can continue to support and inform all its members. "I saw an opportunity for AAMGA to create a committee that would focus on such topics to represent all members across all member types, to share thoughts, research ideas and collaborate" said Scottsdale's Karen Alford. "With the increased complexity of emerging risks, having the capability to pool our expertise and knowledge brings so W I N | S u m m e r 2 0 14 | 41

Table of Contents for the Digital Edition of WIN Magazine - Summer 2014

Cover Story: High Risks on the High Seas
The Rising Importance of Property Catastrophe Risk in the “New Normal” of the Nonadmitted Market
Claims Leakage: Plugging the Hole with Predictive Modeling
Managing Casualty Risks
Understanding the Data Viability and Uses for Underwriting Commercial Auto
2014 AAMGA Wholesale Insurance White Paper Winner: Pandemic Insurance in the Excess and Surplus Lines Insurance Industry
2014 AAMGA Wholesale Insurance White Paper Winner: Catastrophe Bonds: Looking Forward
Organizing Emerging Risks: AAMGA Formalizes a Collaborative Approach
In the WIN-ner’s Circle
Index to Advertisers

WIN Magazine - Summer 2014