KMRD’s Risk Management Assessment and Cyber Coverage Yields Results
A technology firm with no prior losses engaged KMRD Partners a risk management assessment to review their coverage and risk management process. We provided better plan coverage, plugged critical gaps, delivered 21% in savings, and helped save the client $130,000.
Better plan coverage
We conducted a risk management assessment of insurance contracts. Our process identified many coverage areas which could be fixed for no additional cost.
21% in real savings
Our efforts plugged coverage gaps while providing a 21% savings in their insurance rates.
$130,000 claims/covered
Prior to KMRD, there would have been no coverage for these claims. We fixed the gaps in exposure, mitigated risks, and saved them a lot of money.
The Issue
A technology firm with no previous losses was looking for an independent look at their coverage and risk management process. As part of their engagement process, KMRD conducted an assessment of a technology firm’s insurance contracts. Our risk management process identified many coverage areas that could be fixed for no additional cost, including:
- a $1,000,000 gap in their umbrella policy with respect to personal injury & advertising injury (a primary exposure).
- no coverage for business interruption at 5 out of their 6 locations.
- flood coverage for a leased location on the 5th floor of a building on a hill.
- no crime coverage for computer fraud and computer fund transfer fraud.
- no coverage for privacy related issues such as the release of a customer’s confidential information (a primary exposure).
Our Response
Following our risk management assessment, KMRD was selected as their sole representative in the insurance marketplace. Our negotiation efforts plugged all of these coverage gaps while providing a 21% savings. Two years later the client suffered their first two claims in over 15 years including:
- a computer funds transfer theft involving an infiltration/hacking of their accounting and banking systems using a spam as a diversion/access points. The thieves were able to transfer $98,000 in small increments over a period of 2 days.
- a lawsuit from a client alleging that their IT security measures allowed for their confidential information to leak to the public. The original demand was for over $1,000,000.
The Results
Prior to KMRD’s involvement there would have been no coverage for these claims which ultimately totaled $130,000. KMRD’s due diligence, risk management assessment, coverage expertise, and quality control processes designed an insurance program that fit the specific needs of this client – and at a much lower cost.
Our team fixed the gaps in exposure, mitigated risks, and saved the client a whole lot of money. That’s the KMRD difference.