RISK SOLUTIONS FOR AGMA MEMBERS
Built nearly 100 years ago upon the foundation of putting clients first and offering highly customized solutions, AHT maintains that client-centric focus to protect what matters most to every organization. With offices located in the DC metro area, Seattle, Chicago, New York, Boston and San Francisco, we provide unmatched value, integrity and excellence to clients from the down the street to around the globe.
We take great pride in the level of knowledge our professionals have within their ares of expertise and the technologies we’ve implemented to provide best-in-class service to our clients. Specifically, AHT’s manufacturing practice has been nationally recognized for the last 20 years and the team has a combined 50+ years of industry experience. Their approach to risk management results in improved business practices, enhanced product safety and a safer working environment.
WE ADDRESS YOUR BIGGEST CONCERNS
FACING TODAY’S REALITY: Nothing is secure. Nobody can defend themselves. Technology often fails.
Percent of ransomware attacks are against MANUFACTURING companies*
Average cost of a cyber attack to a company*
Internet connected industrial control systems (ICS) and internet of things (IOT) are more and more popular due to automation benefitS, but they come with serious risks. Industrial focused attacks are up by multiples year over year. According to the Cisco 2018 Annual Cybersecurity Report, “Threat actors who want to target ICS to cripple critical infrastructure are actively engaged in research and creating backdoor pivot points to facilitate future attacks, according to TrapX Security, a Cisco partner that develops deceptionbased cybersecurity defenses. Among the potential cyber attackers are experts with advanced knowledge of IT systems, ICS architectures, and the processes they support. Some also know how to program product lifecycle management (PLM) controllers and subsystems.”
UNDERSTANDING SOME OF THE OBSTACLES
- IT & OT departments speak different languages
- Manufacturing executives indicated that 4 of the top 10 threats facing their organization involve employees
- The Fourth Industrial Revolution
- What is llot?
- Processes that were once isolated are now vulnerable
- Attackers have a large number of tools at their disposal
- Nearly 700M known malware variances
- 165 known vulnerabilities in ICS systems like SCADA ID’d in 2016
PROTECTING YOUR COMPANY
Get a Third-Party Assessment
- Get an unbiased opinion
- Help meet contractual requirements
Understand Your Coverage
- Tailor your program to your operations
- Know ALL of your exposures
- Train your employees to create a culture of security
- Maintain constant training for OT and IT
Hire or Outsource
- Address the problem – don’t just throw money at it
- Understand the limitation’s of consultants’ capabilities
AHT RISK MANAGEMENT PLATFORM
To address the unique cybersecurity threats that manufacturers and their suppliers face, AHT offers technical assessments and risk transfer through our exclusive insurance platform — tailored to your needs.
M&A Due Diligence | Intrusion Detection | Penetration Testing | Employee Training | Supply Chain Risk Identification | Contract Review | Secure Remote Access Solutions | External Monitoring | Industrial Automation Systems Integration | Catastrophic Loss Modeling
GET YOUR CUSTOM CYBER LIABILITY QUOTE
We currently have active cyber quotes for most AGMA Members!
*According to cyber security firm The Coalition.
AGMA MANUFACTURERS – RISKS & RESPONSIBILITIES
AGMA Manufacturers have unique product liability exposures in every aspect of business – from design and manufacturing to installation and post-sale obligations.
AGMA Manufacturers have a responsibility to design and build products that satisfy the safety expectations of society.
These expectations have accelerated with the result that safety must receive more emphasis than ever in decisions concerning the design, manufacture and marketing of products and include ultimate intended and foreseeable uses and reasonably foreseeable misuses.
PREPARING FOR A CLAIM
Build safety into design
Indemnification and hold harmless agreements, waiver of subrogation, additional insured, certificates of insurance from suppliers, vendors and third-party contractors
Comply with industry standards
Keep essential records
Customer design specifications, product orders, machine tests, shipping lists, manuals, installation reports, photographs of machine, customer contracts, repair and service reports
Comply with government standards
Recalls/retrofits and warnings
PROTECTING YOUR BOTTOM LINE
AHT provides the experience and resources to assist our manufacturing clients with minimizing the impact of a product liability incident. Our product liability risk management services include:
Incorporating Gear Manufacturing Standards
AHT will incorporate Gear manufacturing standards, published by AGMA, as a tool to assist members with safety compliance — making them a better risk to insurers.
Conducting Product Safety Audits (including self assessments)
Designed for specific products, suppliers, etc. Document existing product safety best practices and identify prioritized short and long range opportunities for continuous improvement.
Initiating Product Safety Program Best Practices
Risk management steering committee, product safety policy and guidelines, safety bulletins, record retention policy, recall procedure, case studies, etc.
Understanding the Details
Insurance requirements, contracts, hold-harmless agreements, cyber security, data management, service personnel documentation of noted customer problems, etc.
PRODUCT RECALL SOLUTIONS
INSURING YOUR FUTURE
Product recall insurance is one of the most important insurance policies that can be purchased by companies that put products into the global stream of commerce. The premium cost for product recall insurance is a worthwhile expense as a cost of doing business, which may protect a company from financial ruin.
Factors contributing to product recall trends:
Technological advances which enhance the ability to detect product deficiencies and/or contamination
Instantaneous worldwide communications
Global reach for supply chains
Evolving legal environments
Coverage for first-party recall costs, consultant costs, replacement costs, business interruption, extra expenses, consequential damages and crisis consultants
TALK TO OUR MANUFACTURING RISK TEAM
WORKERS’ COMPENSATION SOLUTIONS
2018 RISK FOCUS
Potentially Impaired Workforce – Recreational Marijuana and Medical Marijuana:
More states are legalizing recreational marijuana which is increasing the percentage of your workforce impaired on the job.
Legal/Prescribed Marijuana and Painkillers:
With Medical Marijuana becoming more common and physicians prescribing prescription opioids at such a high rate, an employee under the influence of a prescription creates a hazard in the workplace.
Wellbeing programs place emphasis on the individual’s personal needs and considerations for both health and productivity. Human resource officers are deploying programs to address physical, emotional and financial wellness employee support.
The focus under the current administration is transitioning focus on training and education and less on penalties.
Cost has risen 3.2%.
Workers’ Compensation Rates:
Predicted to flatten or increase 2% depending on individual company loss experience.
Aging Workforce, Evolving Workforce and Technology:
This workforce is creating significant impact on the workers’ compensation industry.
Our country and Congress continue to be divided about the issue of undocumented immigrants working in this country without the benefit of workers’ compensation or other workplace rules and regulations. The insurance industry continues to follow.
ADDRESSING WORKER SAFETY
AHT’S Worker Safety Platform Includes: