RIMS/Advisen survey shows that the total cost of risk is on a downwards trend

Published: Monday, 04 April 2016 09:58

Due to declines in property and liability costs and overall risk management costs, businesses paid 2 percent less in 2015 than they did in 2014 to cover the total cost of risk (TCOR), according to the 2016 RIMS Benchmark Survey. The Benchmark Survey, produced with Advisen, defines TCOR as the cost of insurance, plus the costs of the losses that are retained, and the administrative costs of the risk management department.

Key findings from this year’s RIMS Benchmark Survey include:

The annual RIMS survey, produced with Advisen Ltd., is a single source of benchmark statistics with industry data for more than 52,000 insurance programs from 1,457 organizations – including the programs of 197 Fortune 500 companies. It tracks changes in insurance policy renewal prices as reported by North American corporate risk managers.