Insurance Program Design

Far too often, clients place insurance without understanding their risk profile, appetite, and tolerance capability. At AMG, we take time to design and implement the most appropriate optimum risk financing solution for our clients. We recognize that insurance procurement is essential for many companies, but it is important to ensure that insurance delivers value for money and does not unnecessarily erode working capital if not required.

Setting Objectives
Once the risks have been identified, the next step is to establish clear objectives for the insurance program. These objectives should align with the organization's overall risk management strategy and goals. Objectives may include minimizing financial loss, protecting assets, ensuring continuity of operations, and maintaining compliance with regulations. Clearly defined objectives will guide the selection of appropriate insurance coverage.

Selecting Coverage
Based on the risk assessment and defined objectives, the organization can then select the most suitable insurance coverage. It is essential to consider a wide range of insurance options, including property insurance, liability insurance, business interruption insurance, cyber insurance, and others. Customizing coverage to the specific needs of the organization is critical in ensuring comprehensive protection against potential risks.

Insurance Policies
After selecting the appropriate coverage, the organization should carefully review insurance policies and providers. It is essential to understand the terms and conditions of the policies, including coverage limits, deductibles, exclusions, and premium costs.

Risk Mitigation Strategies
In addition to insurance coverage, effective risk management involves implementing strategies to mitigate risks and prevent losses. This may include safety protocols, employee training programs, disaster recovery plans, and other proactive measures. By combining insurance protection with risk mitigation strategies, organizations can strengthen their overall risk management framework and reduce the likelihood and impact of adverse events.

Regular Review and Updates
Lastly, designing an insurance program is not a one-time effort but an ongoing process. Regularly reviewing the insurance program, assessing changing risks, and updating coverage as needed are essential to maintaining its effectiveness. As the organization evolves and external factors change, the insurance program should be adjusted accordingly to ensure continued protection and alignment with the organization's goals.

This phase is key since it involves synchronizing the risks you face with the coverages, extensions, and clauses offered in the market. The experience of the AMG team assigned to carry out this task is vital. We structure the products that best fit each client's individual needs in a professional manner. We have specialized areas that allow us to analyze and evaluate the hazards that could be covered under the various policies available.