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Recent Events
InterCEP Working with Insurance Industry to Develop a Common Assessment Methodology to Reward Preparedness in Underwriting
May 7, 2007 3:44 PM
InterCEP is working with the insurance industry on acknowledging preparedness in the underwriting of business insurance. Generally, the insurance industry is positively disposed to acknowledging preparedness efforts by corporations and giving them credit for preparedness in determining ultimate insurance premiums and policy terms (deductibles, etc.). This has been validated through a diversity of InterCEP Roundtables and interviews. However, what is often lacking is a simple way for insurance firms to assess that a firm has in fact prepared for emergencies. You cannot reward preparedness without first confirming that it exists.
InterCEP is working with a number of leading insurance companies and industry associations to develop a basic self-assessment methodology which will allow a company to efficiently communicate to insurers what preparedness activities it has completed. This self-assessment will be based upon the preparedness standard NFPA 1600 and other guidance as appropriate.
"We realize that there are many factors which ultimately determine a company's insurance premium and policy terms but this initiative will allow for preparedness to be factored in more consistently and rewarded appropriately," Bill Raisch, Director of InterCEP stated.