Risk management company Russell Group has introduced a new scoring system designed to reflect the resilience and sustainability of an organisation’s business model at a given time, as well as provide insight and foresight to help decision making.
‘The Russell Score’ will give every organisation a score based on a variety of metrics such as financial, personnel, product, reputation and location and the external links that impact the organisation.
The scoring system was introduced at a briefing attended by senior executives from Lloyd’s and the London market.
“Insurers and reinsurers siloed by class of business, and corporates siloed by business function are struggling to harmonise information that allows them to efficiently deal with these events,” said Russell Group Managing Director Suki Basi.
“The inability to quantify corporate risk effectively means that on average only some 20% of all corporate risk is insurable in today’s market.”
“There is consequently a massive opportunity for corporates and (re)insurers to collectively quantify the unknown risk and so create new vehicles for risk mitigation. Russell Group believes that a solution exists through the Russell Score.”
