Risk Management Services

A risk management plan provides the blueprint on how to proactively manage risks, and gives direction to all employees related to carrying out the risk management game plan. This includes stating the specific goals desired; a step by step guide for achieving those goals; and practical ways to measure progress on an on-going basis.

Risk management services encompass risk assessment, mitigation strategies, insurance solutions, and ongoing monitoring to protect against financial loss, bodily injury or property damage.

It helps businesses limit their exposure to risks of financial loss, bodily injury or property damage, which helps increase their profit and safeguard their assets.

Insurance does not keep an unfortunate event from occurring, but it does help pay for it. Risk Management is split up into two (2) buckets; Risk Control and Risk Financing. Risk Control helps to “control” the exposures in a business’ operations. Risk Financing is how the losses will be paid for if/when they occur. Insurance falls within Risk Financing since it is a way businesses can transfer the payment of expenses associated with a loss over to the insurance carrier.

Risk management consulting provides guidance to businesses on identifying, assessing, and managing financial risks. You can do it yourself, but wouldn’t you prefer to work with an insurance agency that already works with firms just like yours?

If you work with our agency, we can often provide risk management services for free, since they are often included in the premiums you pay for insurance.

Effective risk management solutions include risk assessments, placing or revising insurance coverage, contingency planning, and proactive monitoring to minimize potential threats.

We have classified three broad areas within a design firm where Risk Control and Risk Financing can be utilized: Finance, Legal and Operations.The area of finance may not seem relevant to risks associated with design firms, but this includes borrowing money to meet payroll, investments the firm has made, employee benefit plans, and aging accounts receivables.

Design firms are required to maintain a level of skill and care ordinarily demonstrated by members of their profession under similar circumstances and at the same time their services are performed, in the area that they practice. The law does not require perfection, just reasonable skill, and care. Failure to meet this “standard of care” is a necessary element for establishing negligence.

Lastly, there are many various risks associated with operating any type of business. Many of these operational risks can be mitigated using insurance policies. Others require the firm to create policies, processes and procedures around the various practice areas to increase the odds of favorable results.

Risk assessment software, financial modeling tools, and enterprise risk management (ERM) systems are recommended.