The BI Insurance Review Service provided is at three levels:

- Essential

- Advanced 

- Custom.

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The activity involves BI risk assessment and BI quantification for a variety of loss scenarios for the organisation being reviewed.  The findings are tested against the existing BI Insurance coverage and optimisation recommendations are provided.  These will address if there are any inadequacies or excessiveness within the BI insurance coverage.  The work will specifically look at policy limits, sub-limits, maximum indemnity periods and policy wording clauses.

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Essential BI Review:   

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This service is principally for clients that insure on a Full Value Basis.  The study will review the appropriateness of four specific aspects of the current BI coverage:

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1) What basis of coverage is most suitable for the client? 

 

Options include Gross Profit, Net Revenue, Gross Earnings (for USA placements), Gross Revenue,  Increased Cost of Working Only or a mixture of these.

 

2) What BI values should be declared going forward? 

 

Reviewing the methodology used in the BI value calculation for the group, divisions and by location to contrast this with the existing BI values and methodology.

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3) What maximum indemnity period should be bought? 

 

Contrasting the current maximum indemnity period with the findings from the study.

 

4) What level of Additional Increased Cost of Working (AICW) should be considered?

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Quantifying potential AICW expenditure and contrasting that with the current limit bought.

 

The deliverable is typically a 10 page report in Word or PowerPoint with contextual client information and sections for each of the above areas, plus BI insurance recommendations for these four aspects, supported by an Excel Workbook with detailed calculations.

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Advanced BI Review:

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This service is principally for clients that insure on a First Loss Policy Limit Basis.  It is a comprehensive service incorporating the following:

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1) The areas in an Essential BI Review are all covered in greater detail.

 

2) Financial and commercial analysis – includes revenue and BI values for the Group, segmented by Business Units, Divisions, geography, product group and location, commercial factors, accumulation risk (e.g. natural catastrophe) and intergroup dependencies.  'Agreed Values' can be quantified, where appropriate.

 

3) Operations Analysis – operational features and factors for critical / major locations,  activities, capacity, volumes, reinstatement times, business continuity mitigation options, gross profit at risk or increased costs expected due to a variety of loss scenarios.  

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4) IT Analysis – assess the IT risk by way of own and third party IT exposures

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5) Contingent BI Supply Chain Analysis – key suppliers (Tier 1) and suppliers of suppliers (Tiers 2 and 3) / key customers including assessing the contractual implications.

6) Specific extensions review e.g. public utilities, fines & damages, with their associated policy inner limits.

 

7) BI Estimated Maximum Loss (EML) including interdependencies and accumulations.  When combined with the Property Damage (PD) EML, this provides an evaluation of the adequacy of the PD/BI policy limit.

 

8) Extensive BI policy review, gap analysis and BI insurance coverage recommendations.

 

9) Strategic Business Continuity Management recommendations.

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The deliverable is typically a 30 page report in Word or PowerPoint with contextual client information, sections for each of the above areas, supported by an Excel Workbook with detailed calculations.

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Custom BI Review:

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This service is principally for clients with more specific requirements or variants on the Essential or Advanced BI Review Service.  It can comprise:

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1) Selected components from the Essential or Advanced BI Review Service

 

2) Multiple agreed scenario modelling for different perils and for a range of locations or business units to test sub-limits.

 

3) BI exposure arising from cyber perils

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The deliverable is to the client's requirements and will always include BI insurance recommendations; Word or PowerPoint short, medium or long report or Excel Workbook only. ​