Willis Towers Watson has announced the launched of a new risk advisory service, called Connected Risk Intelligence, to help chief financial officers and risk managers reduce volatility and minimise their total cost of risk.
The service is built around IGLOO, a proprietary decision support system for the re/insurance sector, which offers advanced risk modelling and simulation capabilities, including dependency and correlation modelling.
WTW claims that Connected Risk Intelligence will help clients identify how to take advantage of market inefficiencies, providing clients with the ability to optimise the balance between retained and transferred risk.
By providing clients with a broad understanding of their risk portfolio, the broker hopes to support decisions about risk finance strategies in aggregate.
“Today’s risk manager and CFO have only been able to view risk financing as individual transactions, compartmentalized by line of business,” said John Merkovsky, head of Risk and Analytics at Willis Towers Watson.
“Connected Risk Intelligence is a combination of advanced modeling technology and our own optimization expertise, which will revolutionize the way organizations view risk management,” Merkovsky explained.
He continued: “By using Connected Risk Intelligence, we can help clients identify the combination of solutions that move their overall risk finance portfolio to the Efficient Frontier and exploit arbitrage opportunities along the way.
“For the first time, companies can have absolute certainty that their risk strategy is exactly right for their business. This means they are paying precisely what they need allowing effective capital deployment elsewhere.”
