As the risk management marketplace becomes increasingly sophisticated, risk managers are taking a more strategic approach to managing risks, according to a recent survey by Ace USA, a subsidiary of Bermuda-based Ace, Ltd.

“In today's changing environment, companies are taking an enterprise-wide, holistic view of risk and identifying solutions to protect their overall market positions,” said John F. Ryan, Ace's senior vice president, strategic marketing. “Risk managers are moving beyond traditional insurance programs and taking a proactive approach through the use of risk management and financing tools.”

Ace asked risk managers about three areas: the top two issues that risk managers face, two key projects that they are working on, and their intentions regarding alternative risk financing. Workers' compensation cost control and directors and officers coverage were two of the greatest concerns. Other top issues for 2004 are addressing enterprise-wide risk management, contingency planning, internal risk management organization, containing the costs of their programs, getting the right terms and conditions, and consolidation and financial security of carriers. In fact, said survey respondents, the quality and financial strength of carriers is a key factor for buyers.