After all the attention paid to the last presidential election and the looming danger of the fiscal cliff, our nation was finally able to give its full attention to making the most of 2013.
- Here is our list of why insurance and risk management matters have become a critical element for many technology firms (regardless of size).
- Changes in Government Regulation and Legislative Matters. Some industries are more impacted than others. The most regulated industries include: Wireless Telecommunications, Wind and Solar Power Generation, TV Broadcasting and Cable Networks, Trucking, Telecommunications, Healthcare, Non-Profits, Energy, Oil and Gas and selected areas in Collaborative Sharing.
- Insurance and Risk Assessment and Management Review More Frequent. Risk has become more complex and difficult to protect. The more you understand risk, the better you can allocate capital and manage the threats to your organization.
- Boards are watching. Boards are more visible and they are asking more questions about risks. Not only do boards want to know the risks at hand, they now want to do what kind of event could cause the firm to miss its goals and objectives.
- In order to meet rising expectations and more stringent risk management requirements in the current economic environment, we need a fresh approach, another set of eyes. An objective perspective is critical for firms that have had an era of a changing economic landscape and shifting risk priorities. An outsider’s fresh and unbiased perspective is invaluable when assessing your insurance and risk management needs.
- Emerging and Mid-Size Technology firms are taking risk management more serious. There will be an increased focus on the performance of middle market-stage firms. Investors and other shareholders want evidence of how early stage and mid-market firms plan to build their program for managing risks during a time of change.
- Increased pressure to turn “risk” into “opportunity.” Escalating competitive pressures will continue to grow. A solid business risk management program can lower exposure to the classes of risk that you are not in the business of taking.
- Pressure to create a competitive advantage. Creating a competitive advantage will continue to be important for your firm.
- Investors more focused on “risk” and how you manage it. The investment community may favor a firm if they understand the risks the company takes and are aware of the company’s plan for managing those exposures and turning risk into an asset.
- Risk disclosure grows more complex. Risk management disclosure is growing increasingly complex. Corporations have increasing large obligations to disclose to shareholders which risks they are taking and what measures they are taking to manage them.
Have an insurance or risk management question? Give a TechAssure member a call to find out more about our insurance products and risk management solutions.