Contact: James Keneally
Telephone: (07) 3115 4560
Why do you need to audit?
Australia is a strongly regulated and highly litigious country with three tiers
of government. Whether or not liability is proven, costs of defence can be very
high.
The increasing number of claims shows the need for organisations to regularly review their liability risks, the quality of their controls to deal with these exposures and the adequacy and currency of insurance arrangements.
Liability audits and reviews of business activities assist in the management of liability risks. Managing these risks allows you to:
- improve management understanding of risks
- enhance present defences
- better quantify the type and amount of insurance needed
- convey a positive view of risk controls to insurers
Marsh offers an expert and independent review of the risks facing your organisation.
Audits include reviews of:
- legislation to detail laws applying to an organisation or activity, such as OH&S or environmental legislation
- exposure to identify highly exposed persons or activities of high risk
- contracts to review liability and indemnity clauses which create or pass on exposures. These may arise from own or other party contracts
Such audits also consider all activities of the organisation including:
- property ownership/occupation to identify the risks of invitees, trespassers, neighbours, contractors
- general operation to identify the risks to staff, contractors and the public
- managing activities to identify the risks that create a personal liability to managers, directors and officers, such as discrimination, breach of Trade Practices Act 1974, environmental breaches
- professional activities consider the risk of failing to act to a level expected of a professional engaged in that profession
- trustees activities consider the risk of failing to fulfil duties expected of a person in a fiduciary position, such as Superannuation Trustees activities
Liability audits also help to quantify the worst case scenarios in order to provide a better basis for selecting the limits of your insurance cover.
Marsh can design, negotiate and effect insurance protection in local, national and international insurance markets. |
