Airmic Talks: How valuations are changing and how to be prepared
Insurance companies are taking a more pro-active approach to conducting valuations and risk professionals need to be aware and prepared, according to Rebecca Fuller, Head of EMEA and Managing Director for Fixed Asset Management & Insurance Solutions.
In episode nine of Airmic Talks, Ms Fuller says the valuations market is evolving significantly.
"Historically, our main buyers have been the insured. The contract has been signed by the insured, the communication has been with the insured and the output has been delivered to the insured," she explains.
"Today, 50% of our market is insurance companies and that is set to increase massively over the next couple of years. For insurers, we are analysing their risks, highlighting anomalies across their portfolios of international business, calculating their value deficit on an enormous scale.
"The problem of under insurance has been there for a long while now, but without proof of its existence."
As a result, it is more important than ever for risk and insurance professionals to be prepared for valuations to take place.
"Time is money, so the more information and prepared the insured is, the quicker the job can be, the more efficient and more useful," Ms Fuller adds.
"The key factors that go into valuation preparedness are assets, data and knowing what you need and who owns it. Who do you need to be talking to, communicating with, collaborating with to retrieve the data for the valuation firm?"
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