Risk Management Audits

The Audit can be likened to a periodic general health examination addressing the types of issues listed below.

  • Is the organization exposed to any significant uninsured risks?
  • Are limits of protection adequate?
  • Are there any gaps or overlaps in protection?
  • Is the structure of the program efficient?
  • Is the program cost effective?
  • How does the cost of specific areas of the program compare with that of similiar organizations?
  • Should deductibles be increased, self-insurance be considered, or cash flow enhancing mechanisms be utilized?
  • How is the risk management function perceived and used by the operating areas within the organization?
  • Does the risk management function have a clear, strategic plan and has it been accepted by management?
  • Do the goals and objectives of the strategic plan stretch the risk management function, but, at the same time, are they achievable?
  • Are claims being handled effectively?
  • Can the incidence of claims be reduced through modification of the organization’s safety and loss prevention program?
  • Are appropriate services being received from the organization’s insurance agents, brokers and insurers?