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Risk Management Programs
The process of reviewing a client’s risk exposure is part of an overall program of business insurance services offered by SKCG Group Inc. SKCG helps the client evaluate, identify and manage the potential hazards and exposures to loss. We work with clients to measure the firm’s tolerance for loss and suggest appropriate loss control, risk transfer or risk financing techniques.
Loss Control is an organized and usually continuous effort to help decrease the possibility of unforeseen losses and the impact of those that do occur. Loss control can be applied to all kinds of losses such as those caused by fires, unsafe working conditions, burglary, auto accidents, hurricanes, or just about anything that causes unexpected harm, injuries or damage. An important but often overlooked component of loss control is proper Business Continuity and Disaster Recovery planning.
One of the better long-term methods to minimizing insurance costs is to prevent accidents from occurring in the first place. All business owners should be concerned with safety issues that impact their employee’s well being and the organization’s claims experience.
Risk transfer is one way of lowering a business owner’s exposure to loss using a variety of methods. A common practice is to contractually transfer the responsibility for loss to a third party such as a landlord, tenant, contractor or subcontractor.
While SKCG is not a law firm, it does review all types of contracts entered into by clients. These reviews offer insight into insurance provisions and when necessary, SKCG will recommend further legal consultation. This service helps business clients understand some of the risks they may be assuming and give them an opportunity to avoid or transfer them.
A basic premise of financial risk management is internal accounting control separating duties in key areas to prevent loss exposure through a single person’s actions. Proper controls can reduce the exposure to loss in a variety of areas.