CONTENTS
Dedication......................................................................................................................................................................... iii
About the Authors.......................................................................................................................................................... v
Preface............................................................................................................................................................................... ix
Acknowledgments........................................................................................................................................................... xi
Techniques of Risk Management & Insurance
Chapter 1 Introduction to Traditional Risk Management............................................................................. 1
Chapter 2 Enterprise Risk Management.......................................................................................................... 7
Chapter 3 Risk Assessment: Identification................................................................................................... 23
Chapter 4 Risk Assessment: Quantification................................................................................................. 37
Chapter 5 Overview of Risk Treatment Alternatives................................................................................... 49
Chapter 6 Noninsurance Transfer of Risk..................................................................................................... 55
Chapter 7 Insurance as a Risk Transfer Mechanism................................................................................... 67
Chapter 8 Overview of Alternative Risk Transfer Techniques.................................................................. 85
Chapter 9 Global Risk Management............................................................................................................. 105
Chapter 10 Loss Control Techniques............................................................................................................ 159
Chapter 11 Emergency Response Planning.................................................................................................. 177
Chapter 12 Business Continuity Planning.................................................................................................... 199
Chapter 13 Claims Management..................................................................................................................... 215
Chapter 14 Monitoring Claims for Financial Accuracy............................................................................... 229
Chapter 15 Insurance Companies and Risk Management.......................................................................... 239
Chapter 16 Working with an Agent or Broker.............................................................................................. 287
Tools of Risk Management & Insurance
Chapter 17 Commercial General Liability Insurance.................................................................................... 301
Chapter 18 The Workers Compensation System......................................................................................... 341
Chapter 19 Commercial Property Insurance.................................................................................................. 389
Chapter 20 Directors and Officers Liability Insurance................................................................................ 405
Chapter 21 Employment-Related Practices Liability Insurance................................................................. 491
Chapter 22 Business Automobile Insurance................................................................................................ 505
Chapter 23 Crime Insurance............................................................................................................................ 521
Chapter 24 Capital Markets Risk Transfer Tools......................................................................................... 529
Chapter 25 Loss Control Tools....................................................................................................................... 535
Chapter 26 The Certificate of Insurance........................................................................................................ 549
Chapter 27 Surety Bonds................................................................................................................................. 563
Chapter 28 Claim Reviews............................................................................................................................... 569
Chapter Glossaries
Chapter 1 Introduction to Traditional Risk Management............................................................................. 6
Chapter 2 Enterprise Risk Management........................................................................................................ 21
Chapter 3 Risk Assessment: Identification................................................................................................... 36
Chapter 4 Risk Assessment: Quantification................................................................................................. 48
Chapter 5 Overview of Risk Treatment Alternatives................................................................................... 53
Chapter 6 Noninsurance Transfer of Risk..................................................................................................... 66
Chapter 7 Insurance as a Risk Transfer Mechanism................................................................................... 83
Chapter 8 Overview of Alternative Risk Transfer Techniques................................................................ 103
Chapter 9 Global Risk Management............................................................................................................. 122
Chapter 10 Loss Control Techniques............................................................................................................ 173
Chapter 11 Emergency Response Planning.................................................................................................. 196
Chapter 12 Business Continuity Planning.................................................................................................... 213
Chapter 13 Claims Management..................................................................................................................... 227
Chapter 14 Monitoring Claims for Financial Accuracy............................................................................... 238
Chapter 15 Insurance Companies and Risk Management.......................................................................... 261
Chapter 16 Working with an Agent or Broker.............................................................................. No glossary
Chapter 17 Commercial General Liability Insurance.................................................................................... 339
Chapter 18 The Workers Compensation System......................................................................................... 379
Chapter 19 Commercial Property Insurance.................................................................................................. 403
Chapter 20 Directors and Officers Liability Insurance................................................................................ 420
Chapter 21 Employment-Related Practices Liability Insurance................................................................. 503
Chapter 22 Business Automobile Insurance................................................................................................ 518
Chapter 23 Crime Insurance............................................................................................................................ 527
Chapter 24 Capital Markets Risk Transfer Tools......................................................................................... 534
Chapter 25 Loss Control Tools....................................................................................................................... 548
Chapter 26 The Certificate of Insurance........................................................................................ No glossary
Chapter 27 Surety Bonds................................................................................................................................. 568
Chapter 28 Claim Reviews............................................................................................................................... 574
Chapter Appendices
Chapter 9 Confiscation,
Expropriation, Nationalization (CEN) Insurance Policy,
Chubb Group of Insurance Companies..................................................................................... 126
International
Voluntary Workers’ Compensation Insurance Policy,
Chubb Group of Insurance Companies..................................................................................... 136
Workers’ Compensation Conditions, Chubb Group of Insurance Companies................... 142
International
Workers’ Compensation Declarations, Chubb Group
of Insurance Companies.............................................................................................................. 149
Political Risk Insurance Application, Chubb Group of Insurance Companies.................... 151
Chapter 10 References..................................................................................................................................... 174
Chapter 15 Liability Risk Retention Act of 1986.......................................................................................... 264
NCIGF Excluded Lines of Business Summary Chart............................................................... 272
NCIGF Claim Parameters Summary Chart.................................................................................. 273
NCIGF Non-Covered Claims Summary Chart........................................................................... 274
NCIGF Guaranty Fund Trigger Summary Chart....................................................................... 275
A.M. Best Company Insurance Company Rating Definitions............................................... 278
Fitch Ratings Insurance Company Rating Definitions........................................................... 281
Moody’s Investors Service Insurance Company Rating Definitions.................................. 283
Standard & Poor’s Insurance Company Rating Definitions.................................................. 284
Weiss Research Insurance Company Rating Definitions...................................................... 286
Chapter 16 Sample Agent/Broker Evaluation Procedure and Form.......................................................... 290
Chapter 17 General Liability Insurance Coverage Checklist...................................................................... 316
Commercial General Liability Declarations................................................................................ 320
Commercial General Liability Policy Form................................................................................. 322
Chapter 18 Option Evaluation Form............................................................................................................... 382
Workers Compensation and Employers Liability Insurance Policy...................................... 383
Chapter 20 AIG Not-for-Profit Protector D&O Policy Form....................................................................... 424
AIG
Private Collection Management Liability Coverage for Private
Companies Policy Form............................................................................................................... 444
AIG
Executive and Organizational Liability Insurance Company Policy Form
(for public companies)................................................................................................................. 474
Chapter 21 Chart:
Additional Protected Classes, Lower Business Size Limits, Time
Limit for Filing a Complaint, Potential Awards by State......................................................... 496
Chapter 22 Business Auto Checklist............................................................................................................. 515
Chart: Required Compulsory Auto Insurance Limits and Uninsured/Underinsured Motorist Requirements by State 517
Chapter 25 Chart: Categories of Loss Control Tools.................................................................................. 547
Chapter 26 ACORD 25, Certificate of Liability Insurance, Specimen........................................................ 559
ACORD 24, Certificate of Property Insurance, Specimen....................................................... 561
ACORD 27, Evidence of Property Insurance, Specimen........................................................ 562
INDEX............................................................................................................................................................................ 575