New Year’s Resolutions for Risk Managers
Whether your business has downsized or grown over the past few years, the waters seem a bit calmer now, and it's a good time to overhaul your risk management program.
Resolve to address the trends in liability claims
- Cyber liability. Cyber claims are a rapidly growing source of loss and can be costly to reputation as well as expensive to mitigate. Invest in controls to reduce exposure, especially when staff use shared or on-site networks.
- Building materials and supplies. The industry is vigilant about legacy toxic materials. Avoid known hazardous products in construction and be mindful that environmental issues, including indoor air quality, are an increasing source of claims.
- Keep workspaces dry. Mold and mildew flourish at higher moisture levels. Before closing up spaces, use a moisture meter and record results; dry new or replacement roofs and enclosed areas until moisture content is below recommended thresholds.
- Employment practices. With more women and diverse workers entering construction trades, treat all employees equitably and provide consistent training on sexual harassment and bullying. A clear zero-tolerance policy reduces liability and supports a safer workplace.
- Directors and officers (D&O). Officers and directors of public and private companies face claims from customers, employees, and regulators; review D&O coverage thoroughly.
Resolve to be more proactive than in the past. Check behind every delegated task and personally walk sites, shops, offices, and site trailers to confirm fire and life-safety equipment is available and functioning. Verify OSHA logs and internal safety records are up-to-date and communicated to staff.
Resolve to review your risk management program thoroughly and begin shopping your insurance coverage early—at least 120 days before your preferred expiration date. Get in sync with your agent or new agent on this matter and, when appropriate, talk to an agent about timing and documentation.
If your operations include communications or reputation management work, consider industry-specific policy details such as Public Relations Consultant Insurance to understand coverage nuances.
For firms that handle on-site materials or property exposures, review options illustrated by products like Pest Control Consultant Property Insurance when discussing property and material risks with your broker.
The turmoil of the construction industry has sent shockwaves through the insurance market as well. Calmer times are ahead—make sure you are among the first to settle and protect your organization.
Frequently Asked Questions
What is the single most important risk to address first?
Prioritize risks that combine high likelihood and high impact for your operation, commonly cyber exposures, moisture-related building damage, and employment-practice vulnerabilities.
How early should I start shopping insurance renewal?
Begin at least 90–120 days before policy expiration to allow time for competitive quotes, underwriting questions, and any needed risk-control improvements.
How can I reduce mold and indoor air quality risks?
Use moisture meters before enclosing spaces, ensure proper drying after construction or roofing work, and select low-emission materials to limit future claims.
When should I review directors and officers coverage?
Review D&O coverage whenever leadership changes, during significant business growth, or if your company faces regulatory or employment-related exposures.