Risk management evolves

risk managers and senior company leaders view the changing role of risk management, Canadian Underwriter reports.

This is according to a report released by Marsh and the Risk and Insurance Management Society (RIMS).

The report found that 54% of senior executives have an increased expectation of risk managers being involved in the organisation's overall business strategic planning efforts.

More than one-third of surveyed respondents claim that the economic downturn led to an increase of analytics being used in risk management initiatives, Market Watch states.

An almost equal number believe the downturn increased their companies' focus on risk volatility - an important measure of how divergent actual losses may be from expected losses.

RIMS president Deborah Luthi says the role of risk managers has grown, and now involves mitigation and leveraging risk as an opportunity, Property Casualty 360 says.

Luthi points out: “Risk managers have evolved rapidly to keep pace with change and have found creative ways to deal with risk by embracing the holistic risk philosophy of enterprise risk management and expanding the role of risk professionals.”