Everyone knows the best way for insurers to manage their total business risk is simply to install a single enterprise risk management system. These systems predict underwriting loss on individual accounts and aggregated books of business, project ultimate values of open claims, assess the overall health and mortality rates of policyholders, manage the companys investment portfolio, and evaluate the insurers own susceptibility to loss from such events as employee fraud, technology failure, and geopolitical crisis.

Only one problem, though. If you were made a chief risk officer tomorrow, and you wanted to buy an [enterprise] package, you simply couldnt, says Vincent Oliva, vice president of research for Gartner research group. That is, such a single system for enterprise risk management doesnt exist.

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