CRS can safeguard business performance, protecting revenues, supply chains and securing cyber environments throughout the organization.
Business income valuation and assessment
We provide comprehensive business interruption assessments of single site locations, including evaluation of business income, interdependencies, alternative production capacities, inventory durations, downtime evaluations, restoration and step recovery. We also specialize in analytical services, reviewing and developing business income worksheets, business income exposure assessment by division or product line and recovery and restoration valuations.
Interdependency evaluation and assessment
We help clients quantify risk with more complex analytics and modeling for aggregating business impacts resulting from disruption to interdependent locations. AIG’s proprietary Contingent Business Interruption (CBI) Visualization and Risk Assessment Model has been specifically developed to evaluate the risk and quantify the losses directly due to interdependent exposures as well as enabling mitigation and interdependency business impact modeling.
Make-up capacity assessment
We provide a range of services to evaluate, quantify and validate the make-up production capacity levels for an organization. These include analysis of production metrics for manufacturers and service companies, identifying alternative sources of production and service delivery and reviewing agreements with these alternative locations. We also evaluate the logistic requirements, lag time, ramp-up profiles and identify production metrics at alternative locations to assess accurate make-up productive capacity.
Business impact analysis
Our Business Impact Analysis services for manufacturing and service companies identify Single Point of Failure (gaps in day to day processes that are not readily replicated elsewhere in the business) which present significant disruption potential to the overall operation. This approach lays the foundation for development of a robust business continuity plan for the organization. Our team can focus on a division, product line or even a specific location.
Business continuity planning support
We provide a range of consultative service offerings tailored to the clients’ specific needs, such as developing disruption triggers and response plans, reviewing and assessing existing Business Continuity Plans (BCP) or Disaster Recovery Plans, developing testing protocols and exercises, BCP training and business continuity team development.
Business impact analysis (BIA)
A large cement manufacturer within Latin America with operations extending over 115 years of business was concerned about their firm’s ability to restore and recover operations at their largest plant following a significant natural disaster and/or process fire event involving their large kiln operations. CRS was engaged to conduct a robust business impact analysis of the plant operations including revenue stream analysis, production, business income, and related operations and the identification and consideration of loss mitigating and alternate recovery options, alternative suppliers and supply chain considerations. The BIA enabled CRS to identify critical loss dependencies in the operations leading to the development of procedures, recommendations and alternatives that are being developed into the firm’s new business continuity plan (BCP). When implemented, the BCP with all recovery and restoration recommendations incorporated, will reduce the identified potential net income loss by over $107M USD with an increased restoration production of over 1.1 M metric tons that would otherwise be lost if the BCP was not in place.
Two decades of cyber claims insights
For the last two decades we’ve insured thousands of businesses and millions of individuals against cyber losses. Our Cyber Risk Consulting team, who have on average 20+ years of individual IT and cybersecurity experience, leverage the lessons we have learned from the cyber claims we’ve handled to help our clients understand the threats they face, the actions they should take, and the impact those actions have on their cyber risk readiness.
World class cyber risk prevention
Our risk consultants and our strategic cyber risk partners deliver a range of services to help clients proactively fortify their cyber defense, including cyber awareness and employee training, vulnerability scanning across our clients’ networks, evaluations of clients’ internet facing systems, modeling the maturity of cyber security systems, blocking blacklisted IP addresses and supply chain cyber evaluations, defense reviews and risk rating.
All sizes and sectors
Businesses of all sizes, industrial sectors and locations face intensifying cyber exposures in a cloud connected world and AIG has a successful track record of preventing malicious content from entering clients’ environments. We have helped many businesses (including those that considered themselves to be well defended) recognize cyber weaknesses, identify unknown issues and detect infections that other specialists had missed.
Cyber best practices road map
Our energy client was unsure how well they had secured their cyber environment and wanted to understand where their exposures were and what they needed to improve. Our cyber risk specialists assessed their operational environment, identified areas of risk and highlighted where gaps existed against best practices. The client used our analysis and recommendations as a roadmap to remediate the identified issues and improve their overall cyber risk posture.
An industry-leading framework and process
AIG has an industry-leading ERM framework and process to identify, prioritize, measure and manage enterprise risk. We are leveraging this expertise to help our clients enhance their own ERM practices, addressing a number of client needs ranging from evaluating the company’s risk appetite or tolerance levels to building or enhancing the organization’s risk management framework.
Risk identification and mitigation
We facilitate workshops with client executives to help identify and prioritize key risks, discuss risk mitigation options and evaluate cost/benefit solutions. Our international ERM risk modeling teams offer quantitative consulting services to model, simulate and assess the impact of an extreme event on a client’s operations or business, stress test an organization’s resilience and advise on emerging risks.
ERM client review
We reviewed an international energy company’s current ERM framework, processes and practices. We hosted a workshop with the client’s executive team to discuss the findings and recommended enhancements. As a follow-up step, the client asked AIG to assist with quantification of property catastrophe loss potential and stress testing of its casualty insurance program using realistic disaster scenarios.
Emerging risk workshops
We have facilitated several emerging risk workshops for AIG clients to identify and prioritize issues that have the potential to result in income statement or balance sheet volatility. Hosted in-depth discussions on topics such as Internet of Things (IoT), robotics and 3-D printing have helped inform clients’ thinking on liability and risk issues, as well as relevant risk transfer solutions.
Early & accurate detection
Our state-of-the-market predictive models and anti-fraud technology effectively unearth suspicious activity and spotlight areas of potential fraud. Sophisticated anti-fraud systems, such as our proprietary Fraud Analytics Dashboard, enable us to analyze industry trends and historical claims to target the sources of suspicious claims, and help clients mitigate losses before they can escalate.
Extensive investigative expertise
With strong and insightful backing from our analysts, we investigate various types of fraud throughout our clients’ operations worldwide, including claim fraud, application fraud, fraud against elderly and vulnerable clients, provider fraud, as well as producer fraud.
We also provide clients with sophisticated fraud prevention guidance tailored to their businesses and their specific industries and concerns. Our targeted risk assessments uncover areas of potential vulnerability, while customized mitigation tactics reduce risk. Hands-on training for clients’ employees is also available to increase internal awareness of suspicious activity, heightening clients’ abilities to combat fraud.
A proactive analysis by GIS of similar claims emanating from the same hospital in coordination with local and federal enforcement agencies resulted in the indictment of a former CEO for paying over $500 million in “kickbacks” to doctors who unnecessarily referred patients for hospitalization. The investigation also established links between numerous other entities that were either directly involved or that had knowledge of the fraud.
Injury claim misrepresentation
The day after a window cleaner employed by our client was notified of termination for failing a drug test, he alleged that while cleaning windows, his equipment failed, causing him to fall, fracturing his neck and back and requiring an ambulance to a hospital. Our investigation showed no witnesses or confirmation of the ambulance or hospital care and revealed via social media that he was still working as a window cleaner the day after the alleged incident. When faced with a deposition about the injury and our findings, the claimant withdrew his claim.
Our Contingent Business Interruption (CBI) assessment for clients uses our internal business interruption loss estimate tools to provide a relative risk ranking view of the client’s supply chain risk. This approach helps identify high risk initial tier suppliers against potential natural catastrophe, fire and other peril events. It is based upon a set of selected scenarios which can be analyzed on key sites within the client’s supply chain network and gives clients an indication of their supply chain risk level and informs clients’ decision making around contingent business interruption insurance.
Quantifying supply chain disruption
Our advanced modeling assessment identifies high risk suppliers, and low risk localities for compatible alternatives. It quantifies the risk impact of adding new suppliers, optimal inventories for critical components and the overall supply chain disruption risk for fire, storm, flood and earthquake. “What if” scenario analyses can test different risk mitigation strategies. These more complex assessments quantify the risk from the supported perils, support aligned contingent business interruption coverage and more focused loss prevention strategies.
Manufacturing companies depending on multi-tiered supplier networks or single-sourced suppliers and intermediate manufacturers reliant on key customers can benefit from our supply chain business interruption assessments. All manufacturers can take advantage of these services, especially in those sectors characterized by complex inter-dependencies such as automotive, technology, medical devices, pharmaceutical, consumer goods, industrial and transportation equipment.
For service providers
Non-manufacturing companies that deliver services with integral third party suppliers or customers can benefit from our supply chain analytical and assessment services. Ideal candidates in the service sector include wholesale and retail operations, transportation services and systems and logistics services companies.
Supply chain risk assessment
The management team of a global manufacturing firm was challenged by their CEO to identify the loss potential that could result from a significant supply chain disruption following a major natural catastrophe event. The firm reached out to CRS to engage in a risk assessment project utilizing AIG’s new CBI Visualization and Risk Assessment Model. The firm provided limited data and information on their supply chain, as they identified that their visibility of suppliers past their Tier 1 level was poor, at best. The CRS team, using its latest model and support from several key business partner data firms, were able to develop a decent map of their supply chain down to the 3rd tier level supplier level, and obtain key information on those locations, throughput of product components, routing of goods back up to the firm’s endpoint manufacturing locations.
This effort enabled CRS to conduct a quantified risk analysis and potential downtime impact to the client resulting from potential natural catastrophe events such as earthquake and flood, and identify the largest risk contributors in their supply chain based upon the incorporation of AIG catastrophe models within the CBI Visualization and Risk Assessment Model. This effort has benefited the client by not only understanding the potential net income financial impact from such an event and how to best to protect it with contingent business interruption insurance, but also to identify where and for which component part suppliers they needed to identify alternatives for, and where to focus on more robust supplier business continuity efforts.