In This Issue
Expanding Our Expertise
FTI Consulting's Global Insurance Services continues its expansion of U.S. and EMEA teams, with the addition of Vince Bodnar, Marshall Schlimer, Peter Schablik, and Steve Schoonveld.
Spotlight on Climate-Related Risks
Heightened climate risk exposures, storm intensities, and regulatory oversight and reporting are threatening insurance affordability and availability, and insurance companies are paying close attention.
Special Insights and Guidance Advisory
Our insurance company clients and prospects are in the midst of an ever-accelerating technological paradigm shift, in which Artificial Intelligence (AI), Machine Learning (ML)-enabled solutions are transforming how products and services are being built and delivered. These innovative tools are reshaping all industries and are even taking the wheel in newer cars we drive. Such progress, however, doesn't come without new risks, as rapid innovation often outpaces the adoption of aligned best practices and a commonly accepted code of ethics. Realizing that AI failures can have significant legal, reputational, operational and ethical implications, both insurance regulators and companies are becoming more focused on the potential for biased algorithms to violate traditional anti-discrimination laws in areas such as underwriting and pricing.
From the FTI Journal – Challenges and Risks When Outsourcing to Managing General Agents
Carriers may face different difficulties if they choose to outsource to non-affiliated third parties such as Managing General Agents (MGAs). As outsiders, these independent businesses expose carriers to risks beyond their usual commercial boundaries. Performing due diligence, having a comprehensive agreement in place, and carrying out routine inspections of MGAs and other intermediaries can help to protect the carrier against adverse impacts stemming from outsourcing.
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