Risk Management Is A Moving Target

On Wednesday, September 26, we're giving a webinar on converting from a pool-based captive to a stand-alone pure captive.  The webinar is at 10AM.  You can sign up here.

Several weeks ago, I noted that the changing nature of hurricanes and tropical storms is altering risk management along the Eastern seaboard.  A story in today's NY Times sheds further light on the ever-changing nature of risk management [emphasis added]:

Mr. Sears and many others here are well aware that hurricanes have long been a fact of life in North and South Carolina, with nearly 500 miles of coastline between them. But the last four years have been particularly punishing. An unnamed weather system that drew moisture from a hurricane in the Atlantic paralyzed much of South Carolina in 2015. Hurricane Matthew arrived the next year, drenching the Carolinas and leaving dozens dead. And now, Florence, which has dropped more than 8 trillion gallons of rain on North Carolina alone.

.....

“When you have two 500-year floods within two years of each other, it’s pretty clear it’s not a 500-year flood,” the governor said at a news conference this week. “So as we approach recovery, both short-term and long-term, we will have to look at flooded property, work on mitigation and buyouts, and being smart about how we recover and make sure that we’re involving local, state and federal officials.”

A risk manager must continually alter and change his program as the types of risks change. Programs have to be continually analyzed, re-evaluated, and probably repriced