WIN Magazine - Spring 2015 - (Page 34)

FEATURE View from Makupu'u Point, O'ahu. VOLCANOES, HURRICANES, TROPICAL STORMS AND FLOODS Perils and Exposures in Paradise BY SHARON K. LEE T HE STATE OF Hawai'i is truly a paradise with a warm climate, beautiful landscapes of mountains and ocean, and a diverse mix of rich cultures. However, like anywhere, individuals and businesses need to be prepared for uncontrollable and/ or unforeseen risks. There are several risks inherently unique to our paradise, such as erupting volcanoes and hurricanes. To help address and prepare for these and other risks, the University of Hawai'i - West O'ahu has a program that trains candidates for positions in risk management and the insurance industry. The insurance industry alone has financially supported thousands of individuals and their families in Hawai'i, a state known for its high cost of living and lower annual average incomes relative to other states in the U.S. The Risk Management and Insurance (RMI) Program at the University of Hawai'i - West O'ahu (UHWO) is the only standalone risk management and insurance certificate in the state. Discussions about a program began when local insurance industry professionals, led by Myles Murakami, president of Atlas Insurance Agency in Honolulu, approached the university in early 2010 expressing the need for a risk management and insurance program in Hawai'i to train qualified candidates for successful careers in the industry. As a result of this great public/private partnership, the RMI program was created and began in fall 2011 with its first certificate graduates in May 2013. According to the Insurance Fact Book 2013, the insurance industry employs nearly 10,000 professionals in Hawai'i. As in other geographic areas, Hawai'i's insurance professionals are nearing retirement age, and there is a shrinking talent pool. The State of Hawai'i DBEDT Data Book 2013 reports that the need for workforce replacement in insurance will be great, and in a survey conducted by staffing and executive search firm Jacobson Group in August 2013, 52 percent of the 80 U.S. insurance companies expected to increase staff in the next 12 months, and only 8.5  percent expected to decrease staff. In a local survey conducted by Sonia Leong, executive director of the Hawai'i Independent Insurance Agents Association, a significant number of insurance agencies indicated an average staffing need of ten insurance and risk management employees per year over the next decade. With most insurance and risk management programs predominantly in the contiguous United  States, the need had never been greater nor the timing more appropriate to have an undergraduate insurance and risk management program in Hawai'i to train qualified candidates for successful careers in this industry. The program requires six courses including commercial insurance, personal lines, as well as enterprise risk management. The UHWO Commercial insurance and 3 4 | v i e w t h i s i s s u e a t | Personal Lines insurance courses qualify as waivers for relevant CPCU (Chartered Property Casualty Underwriting) Designation courses, if students receive at least a B grade in the course. Strong support from the local insurance industry comes in the form of funds for scholarships and program development, and internships for UHWO students. The program provides access to RMI education and training for many nontraditional, working students on O'ahu and the neighbor islands through traditional and distance learning methods of delivery. RISKS IN HAWAI'I Volcanoes. Today, lava flow from one of the most active volcanoes, Kilauea on the Big Island of Hawai'i, is slowly approaching the town of Pahoa, located in the Puna district. Since June 2014, lava from the Kilauea volcano has been flowing northeast toward Pahoa. Over 70 million years ago, the Hawaiian islands began forming, and they continue to grow from violent volcanic eruptions. Eruptions from the Kilauea volcano occur on average approximately every four years. Other volcanoes in the Hawaiian islands considered active are Mauna Loa, Hualalai, Lo'ihi and Haleakala. Four of the five active volcanoes are on the Big Island, with Haleakala on the island of Maui. Though the last eruption of Haleakala was in 1790, this is considered recent in geologic timeframes. Volcanoes on the islands of both O'ahu and Kauai, the relatively older islands in the Hawaiian

Table of Contents for the Digital Edition of WIN Magazine - Spring 2015

Cover Story: Will the Excess and Surplus Lines Insurance Business Saddle Up with Standards? By CJ Ketterer
Digital Maturity—or Extinction: Your Survival Now Depends on Digital Transformation By Scott Klososky and Corey White
Emerging Trends: The Technology Side By Greg Ricker, CPCU
Emerging Trends in the Property Insurance Market By Ralph Sabbagh, ASLI
Underwriting the Exposures of Business Operations: The Impact of Tenant Leases By Craig A. Mathre, CPCU, CLU, CIC, CRM, ASLI, RPLU, AU, AIC, ARM, AAM
Emerging Risks: Brain Research By Dr. Achim Regenauer
Millennials: How Well You Attract and Keep Them Could Be Your Competitive Advantage By Teresa Vaughn, SPHR
Volcanoes, Hurricanes, Tropical Storms and Floods: Perils and Exposures in Paradise By Sharon K. Lee
“Empowering the Wholesale Nation”: AAMGA Annual Meeting Registration and Room Block Are Now Open
Index of Advertisers

WIN Magazine - Spring 2015