Assessment and modeling of risk
We provide practical risk solutions and modeling tools for the identification, quantification and management of the risks faced by insurers, be they market, insurance, operational, environmental or socio-economic. Our expertise includes dedicated analytics and modeling teams and research units, such as the Willis Research Network, that are at the forefront of promoting the understanding of existing and emerging organizational risks. Underpinning these capabilities are market-leading modeling and technology that help deliver deep insights in to the specific and cumulative implications of exposure to risks, and how insurers can potentially seize opportunities from them, or mitigate against them, such as:
- Climate and catastrophe
- Credit and financial
- Demographic and lifestyle change
- Medical trends, including mortality and pandemics
- Pricing and underwriting
- Technology, including cyber
Our solutions inform and empower risk management decisions that help shape business strategy and portfolios, foster innovation, support relationships with key stakeholders, and optimize the use of capital.
Risk Transfer Solutions
We help insurers assess and manage the full spectrum of risks contained within their portfolios. Our advice on the pros and cons of risk transfer options helps them meet objectives for earnings or for capital protection.
Our clients trust us to add value from our detailed understanding of strategic insurance market issues, such as drivers around less pronounced rating cycles, consolidation pressures and the growth in alternative capital sources. Applying this knowledge, we use our in-depth experience of specific business lines and our advanced analytics approaches and tools to both promote resilience to extreme loss events through effective market placement of risks and, more broadly, to act as a true risk advisor to clients.
Our complementary expertise in risk and capital modeling, regulatory trends, and underwriting and portfolio management means we can also support clients to integrate risk transfer in to their decision-making around risk and capital.
Enterprise Risk Management
We advise and support the development of effective ERM frameworks, reviewing existing frameworks through to the development of a full framework or advising on specific elements of ERM, tailored to business, risk and regulatory environment, including:
- Risk appetite – including strategy, tolerance and limit framework
- Governance – framework; policies, processes and management
- Management Information – KRI development, risk reporting and dashboard design
- Regulation – development of process, reporting and application in decision-making
- Modeling – use and appropriateness of the modeling of risk, model validation, stress and scenario testing
- Culture – definition, assessment and monitoring, improvement and embedding