In2Risk21 Convened in Orlando. Here’s What CPCU Designation Holders Said About It

In2Risk21 marks the first time the CPCU Society was able to meet in-person since the pandemic. Here's what happened at the annual event.

By: Abi Potter Clough | October 13, 2021

Topics: Future of Insurance | In2Risk | Insurance Designations

For the first time in two years, the CPCU Society’s annual conference and conferment for new designees, called In2Risk21, took place in Orlando, FL, September 23-25, at Disney’s Coronado Springs.

The event was hybrid, with live and virtual attendees coming together to learn and network.

Five hundred eighty-nine insurance and risk management professionals attended the event in person, with another 198 registering for the virtual experience. Two hundred twenty-two new designees from the society’s classes of 2020 and 2021 participated in the hybrid In2Risk21 experience.

President of The Institutes, Peter Miller, noted, “In2Risk 2021 continued a long line of great annual meetings and seminars for the CPCU Society. CPCUs represent the most knowledgeable leaders in the risk and insurance industry.”

A combination of educational sessions, celebrations for new CPCU designees, and networking fun made In2Risk an attractive draw. There were three general keynote sessions and 21 breakout sessions.

All three keynotes were live streamed for virtual attendees, along with replays of seven of the breakout sessions.

Sharon Koches, CPCU, 2021 president and chair, CPCU society leadership council and ex-officio member of the board of trustees of The Institutes, led the meeting with energy and grace.

She commented, “In such a challenging year, I am inspired by the passion, motivation and engagement of our members, new designees and volunteer leaders. Being able to spend time with so many bright, passionate and engaged individuals at In2Risk, The Institutes’ CPCU Society Annual Conference provided an opportunity to make new friends, catch up with old friends, refresh, recharge and reinvigorate.”

Find Your Inspiration

The theme of In2Risk21 was Find Your Inspiration, and the three keynote speakers delivered on this promise.

Carla Harris, Vice Chairman of Morgan Stanley, inspired the audience by talking about creating a powerful presence and sharing your authentic self. Harris’s voice and stage presence are as impressive as her business acumen. A gospel recording artist and best-selling author, she shares all of herself with the audience, inspiring listeners to dare to be their authentic selves in the boardroom, and in life.

Music continued to be a theme of the general keynote sessions when dueling pianist and ex-insurance producer Gregory Offner took the stage on day two of the event.

Talking about “eureka” moments and disruption, Gregory inspired the audience by sharing his personal story of lessons on disruption and change. Music from Elton John to Shaggy lent energy and excitement to the session.

The final keynote session at In2Risk was entertaining and insightful. Matthew Luhn, a former 20-year Pixar veteran, talked about how big data creates compelling stories, an interesting parallel to the risk and insurance world.

Luhn’s relatability to the audience was key — most audience members recalled movies like Up, Toy Story, and Inside Out and the emotions they felt during those films, which made his keynote session particularly memorable. The lessons he taught about making connections with people resonated through the crowd of insurance and risk professionals.

Elaine George, CPCU, longtime CPCU Society member and leader, commented, “In2Risk 2021 was rewarding on many levels. It was wonderful to see my friends again and network with some of the brightest and best people in the industry.”

Hosting a Hybrid Event Brings New Challenges

Bringing people together in any organized way brings new challenges since the pandemic changed our world.

For many attendees, In2Risk was their first in-person business conference since pre-COVID. Conference organizers provided a colored sticker system for badges so everyone could easily see your comfort level when around other people — green stickers meant you’re good with hugs and handshakes; yellow stickers indicated elbow or fist bumps were ok; red stickers asked for distance to be maintained.

“It was terrific seeing many old friends and meeting new ones at the in-person In2Risk Conference. I consider the event to be a tremendous success under trying circumstances,” said Chris Hampshire, CPCU, vice president, carrier practice with Gallagher Bassett and president-elect of the CPCU Society Leadership Council.

“The keynote speakers were outstanding, the educational sessions were diverse in subject matter and enlightening, and the networking opportunities were plentiful. It’s been a challenging period of time for conference planning. This event was a great reintroduction to in-person learning and relationship development.”

Safely hosting industry professionals was a priority for both the CPCU Society and the conference host, Disney. Mask usage in all indoor spaces was strictly enforced, and Disney staff followed their own safety protocols in hotel rooms and restaurants.

Attendees were required to have a negative COVID test within 72 hours of the conference, and Disney required its own waiver of liability.

“IN2Risk 2021 was a tremendous success by all accounts. Hundreds of leading industry professionals came from across the globe to safely meet and advance further along their paths. We tackled some of the most pressing and emerging challenges within our world over the course of the week,” said Spenser Villwock, Executive Director, CPCU Society.

“All attendees walked away with innovative solutions and tremendous insights to propel their work forward. I simply cannot wait to be back with this amazing community of professionals with the IN2Risk 2022 in San Francisco!”

Industry Designations Help in Many Ways

A new designee attending for the first time, Jermaine Washington, Jr., CPCU, underwriting assistant-specialty casualty at TREAN Corporation, praised his new designation, saying, “The educational resources, networking opportunities, and professional development available to aspiring CPCUs are profound. For those inspired by credibility, career advancement, or personal maturation, the CPCU Designation is a marvelous ambition that I highly recommend.”

One highlight of In2Risk is the networking events hosted by the CPCU Society, member companies, and affinity groups.

New designees are always welcomed by veteran CPCUs and included in the after-hours fun, where much of the networking and business is done. CPCU members can volunteer for leadership roles, share their knowledge through webinars, and be published in the quarterly publication, Insights.

Keyson Dingle, CPCU, a CPCU Class of 2020 Spokesperson and board member of the International Insurance Interest Group, has taken full advantage of the resources and networking opportunities available by being a CPCU Society member.

“It was amazing to see everyone come together again! To see how many new designees we had come out definitely shows that the CPCU Society is growing. I’m happy to be a leader in this industry as we all grow together to help the common good of society,” Dingle said.

Join In2Risk in 2022!

Next year’s event will be held November 10-12 in San Francisco, an exciting opportunity to learn about trends shaping the risk and insurance industry and network with leading professionals.

Koches concluded, “(In2Risk) was an opportunity to hear about individual journeys and personally engage with our members, as well as gain knowledge by attending sessions led by our thought leaders. Thank you for joining us and I look forward to seeing you next year at In2Risk, San Francisco. I can’t wait to see what we accomplish together.”

Miller added, “Participants this year demonstrated their ongoing commitment to professionalism by continuing the life-long commitment to knowledge and ethics. I very much look forward to continuing the journey at the 2022 In2Risk in San Francisco next year.” &

Abi Potter Clough, MBA, CPCU, is a keynote speaker, author and business consultant focused on Insurtech, leadership and strategy. She has over 15 years of experience at a Fortune 500 company with expertise in P&C claims operational leadership, lean management consulting, digital communications and Insurtech. As the past chair of the International Insurance Interest Group of the CPCU Society, Abi remains involved in many international initiatives and projects. She has published two books about change management and relocation. Abi can be reached at [email protected].

Why Insureds Might See an Uptick in M&PL Claims

George Schalick, Jr., Senior Vice President of the Management and Professional Liability Division, Philadelphia Insurance Companies

The current soft market might come as a bit of a surprise as it does not track with previous underwriting cycles and economic conditions. Afterall, many privately held and non-profit organizations struggled during the early days of the pandemic with shutdowns and rapidly declining revenues. But the Government assistance programs, like the Paycheck Protection Program loans, helped keep many afloat during the tough times.

“During COVID many organizations stopped doing business until they were able to sort out all of the health and safety challenges,” Schalick said. “They were forced to lock down, but then all the government assistance programs allowed them to keep people employed. The increased volume of claims we anticipated we would see coming from the lockdowns and restrictions that were imposed upon businesses in the U.S. didn’t manifest at first.”

“Just because there wasn’t an onslaught of reported claims at the beginning of the pandemic, doesn’t mean the circumstances that would give rise to a claim being reported didn’t occur. Courts and the judicial system were closed or slowed and now that they are back open, we’re starting to see the circumstances that occurred during the COVID lockdowns becoming claims today,” Schalick said. “Litigation is progressing.”

Added to the delayed pandemic litigation is a concern over newer claims that might be filed as the country inches toward an economic downturn. Though a recession was avoided in 2023, experts think a soft dip could occur in 2024, with 76% of economists saying there’s a 50% or less chance of an economic downturn this year — that almost always results in more management liability claims.

“During the Great Recession in 2008, we saw an almost immediate spike in claims because of the economic conditions and the pressure it placed on organizations. They were making personnel changes with significant belt tightening almost immediately.” Schalick said.

What’s in Store for M&PL Policy Rates in 2024?

Despite an uptick in claims and increased economic uncertainty, management liability rates haven’t increased, resulting in market-wide pricing levels that may not meet the increased pressure of rising settlements and jury verdicts.

“Rates are going the other direction and settlement values are not falling,” Schalick said.

The mismatch between rates, claim frequency and severity is, in part, because carriers experiencing the dramatic soft market in the public D&O market are seeking premium gain in the private and non-profit market.

“In the public company market, the rates have been decreasing significantly. The rates were increasing in the private, not-for-profit market, and rightfully so, but there’s a desire to supplement overall mid-size D&O for carriers who also write private not-for-profit, and they see that as an opportunity to aggregate premium,” Schalick said. “So the always competitive landscape in the private, not-for-profit market has dramatically increased in the last 18 to 24 months.”

Still, companies of all sizes and types should be concerned about management liability rates in the future. Legal system abuse is resulting in increases in both the amount of litigation and the size of verdicts plaintiffs are receiving.

Certain areas of the country are particularly vulnerable to this type of legal system abuse. As a result, insureds in these localities are likely to be vulnerable to rate increases.

“The environment is so positive for the plaintiff that forces premium increases so carriers are able to stay in that market long term,” Schalick said.

Why a Tenured Carrier Partner Can Help Insureds Navigate An Uncertain Market

It’s clear that insureds are facing an uncertain M&PL market over the next few years. Fortunately, carriers with a long history in the M&PL space will be there to offer stability.

Philadelphia Insurance Companies has been supporting this market for 35 years. PHLY is committed to offering long-term rate stability, even as economic and claims trends start to push premiums upwards. They have an appetite for all sorts of companies, large and small, for-profit and nonprofit alike.

“We’ve been at this game for a long time and are one of the most tenured underwriters in this space,” Schalick said. “We like to stay very consistent.”

PHLY has worked with both for-profit and non-profit on management liability policies. With dedicated M&PL teams throughout the company’s 13 regions, PHLY provides the support agents and brokers are looking for on behalf of their clients. The teams know their regions well and can respond to local trends. They’re also dedicated to making the renewal process as easy as possible for their partners and policyholders.

“We have real confidence in our results, so we focus a lot on making the renewal experience as painless as possible for all agents and insureds,” Schalick said.

The company is also investing in tools to help insureds avoid losses. Earlier this year, they launched a new online risk management platform, PHLYGateway, which offers resources for insureds on how to create an employee handbook and trainings on issues such as recognizing workplace sexual harassment and discrimination.

If insureds have questions, they can consult a Best Practices Help Line, provided via the platform. That way, they can get on the spot risk management guidance to help them prevent claims.

To learn more, visit: https://www.phly.com/mplDivision/managementLiability/default.aspx.

This article was produced by the R&I Brand Studio, a unit of the advertising department of Risk & Insurance, in collaboration with Philadelphia Insurance Companies. The editorial staff of Risk & Insurance had no role in its preparation.