Aon launched the Directors and Officers (D&O) Risk Analyzer, a digital tool for U.S.-listed public companies. This application helps risk managers make data-driven decisions to manage executive risks affecting their directors, officers, and businesses.
The D&O Risk Analyzer is part of a new suite of tools that leverage data and analytics to offer insights, assisting clients in navigating a changing risk environment.
Timothy Fletcher, CEO of Aon’s financial services group, noted the increasing complexity of corporate officer risks due to rising litigation costs, equity market fluctuations, and evolving regulations.
It is more important than ever for risk managers to assess D&O liability and the role of insurance in protecting public officers and board directors
Timothy Fletcher, CEO of Aon’s financial services group
The D&O Risk Analyzer, combined with Aon’s brokerage services, provides a comprehensive analysis of D&O risks, aiding clients in making more informed decisions.
Key features of Aon’s D&O Risk Analyzer
- Real-time analytics: Clients can evaluate potential D&O insurance losses, adjust risk models, and refine insights based on new data.
- Risk exposure and loss models: These models help identify exposure to various events, from minor issues to catastrophic impacts, with a focus on factors such as stock volatility, liquidity, mergers, and regulatory challenges.
- Stock price drop analysis: This tool assesses how stock declines may correlate with theoretical D&O losses using historical settlement data.
- Total cost of risk (TCOR) visualizations: These visualizations assist clients in exploring insurance options, optimizing coverage limits, and designing the best insurance programs.
These capabilities enable real-time loss forecasting and help risk managers discuss risk retention and transfer options with brokers and C-suite executives.
This launch follows the earlier releases of Aon’s Property Risk Analyzer and Casualty Risk Analyzer, which also help clients assess risks and insurance choices.
Aon plans to introduce additional risk analyzer tools soon, all developed by Aon’s Risk Capital and Human Capital teams in collaboration with Aon Business Services.
These tools aim to give clients better control over their insurance structures.
Joe Peiser, global CEO of Aon’s Commercial Risk Solutions, emphasized Aon’s dedication to providing clients with actionable analytics that enhance their ability to assess risks and insurance offerings in an increasingly complex landscape.
by Yana Keller
