The overuse of the word unprecedented is unprecedented. Word play aside, we in the commercial industry face uncertainties that require an elevated sense of Risk Management. The complexities of operating a commercial building are rapidly increasing. In early June operators were faced with a set of outdoor pool standards that could make you dizzy. How could anyone comply? We have already heard pool professionals indicate that they are either unable to comply or unable to accept the responsibility of their work. And who can blame them? The decisions we make today necessitate thoughtful Risk Management advice and best practices implementation. Though the regulations and issues keep changing, the process to make decisions from a Risk Management perspective remains the same. First, one needs to identify the exposures. Next, the risks need to be measured and assessed. After that, evaluate the possible solutions, including risk mitigation. Lastly, implementing solutions and monitoring the results. Partnering with a professional to have a thought partner through this process is critical. One consideration makes Risk Management decisions more important than ever: the insurance marketplace trends have shifted dramatically in recent months, and the pandemic has accelerated this shift. Umbrella and Excess Liability premiums that have increased dramatically, while the insurance companies offering coverage have reduced capacity and increased cost. Not since the late 80’s has the insurance market for excess liability coverage been so difficult, a so-called “hard market”.
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