Loss Reduction

The Department of Loss Reduction in Shikan Company is the first specialized department in this field established by an insurance company in Sudan in 1996.

                The administration carries out surveys for various insurance risks, which are conducted by the administration’s staff, including insurance technicians and survey experts, with whom the company deals from inside and outside Sudan.

               i.            Loss Reduction Department Functions and Tasks:

·         The administration conducts a survey of the risk to be insured in order to evaluate it from several aspects before deciding whether to accept or reject it based on the survey result.

·         The administration also conducts a survey of the losses that occur to the insured in order to find out the reasons for their occurrence and the relationship of their causes to what is stipulated in the issued insurance policy.

·         The administration is assisted in carrying out these surveys by insurance technicians affiliated with the company's management or by accredited survey experts locally and internationally.

              ii.              The role of loss reduction management:

·         The administration follows up the implementation of the recommendations made by the survey technician in coordination with the relevant authorities.

·         The work carried out by the administration directly contributes to determining the possibility of accepting or rejecting the insurance, based on what comes out of the report prepared by the survey technician. Where the survey technician assesses the risk from several aspects and identifies the shortcomings in the subject of insurance that may cause the realization of the risk and thus the technician makes recommendations to the underwriting departments to formulate them in the form of conditions included in the insurance policy obligating the policy holder to implement them to improve the insured risk

·         The administration also writes the report on the claims, after surveying the losses, standing on the ground on their location, determining the direct causes that caused them, and comparing them with the document's requirements.

            iii.             Benefits of Loss Mitigation Management:

    At the company level:

·         The management submits to the company a report on each risk before proceeding with its insurance, which helps the underwriting departments in taking the appropriate decision to issue the document.

·         The management provides the company with a report on every loss that occurs, which helps the claims department in taking the appropriate decision to pay the necessary compensation.

At the customer level:

·         Based on the reports submitted by the administration on the insured dangers, the administration makes recommendations to improve the risk to the insured, reflecting to them the shortcomings in these dangers and showing them the weaknesses in their safety systems.

·         It also provides them with recommendations when losses occur to help them address the errors that caused the loss to be avoided in the future.

  At the general level:

·         The administration raises the level of safety in general through its contribution to support the country's fire and safety systems.

·         It also contributes with many governmental institutions to reduce traffic accident losses, such as its support for national road hospitals, ambulance support on national roads and within cities, and also contributes to supporting treatment institutions within major cities, such as: -

 

·         Establishment of a blood bank in the state of the island.

·         Contribute to the purchase of a fire engine in the Red Sea state.

·         Contribute to the training of central ambulance cadres Khartoum.

Sections of Loss Reduction Department:

First, the surveys section:

1.       Receiving survey requests (risk - follow-up - loss) from departments and branches and open a record for monitoring and follow-up.

2.       Coordination with clients to conduct the required survey.

3.       Conducting the survey and preparing the report.

4.       Preparing and developing risk and loss survey reports forms.

5.       Send survey reports after their completion to the survey requesting parties.

6.       Any other work related to surveys.

7.       Preparing statistical reports on survey operations.

Second: Risk Management Section:

       First, the tasks of the risk department:

                1.         Follow up on the implementation of risk improvement recommendations through the terms of the insurance policy or its appendices.

                2.         Carrying out an extensive study on car accidents and claims, working on analyzing them, and then finding what can be reduced.

                3.         Addressing letters to clients with recommendations to improve risk, if necessary.

                4.         Follow up the implementation of risk improvement recommendations through field visits in cooperation with the surveys department, underwriting departments and branches.

                5.         The use of media devices to express the importance of safety in all aspects of public life.

Suggesting and implementing safety awareness awareness operations through:

1.       Training workers in hazard sites on methods of fire prevention and other expected risks.

2.       Organizing lectures and seminars.

3.       Spreading awareness of safety instructions (visual programmes, posters, applications).

4.       Suggesting and implementing some risk improvement aids for some distinguished clients.

5.       Reviewing and analyzing the data of the dangers that occurred, knowing their causes and proposing means of controlling them.

6.       Review the industrial safety systems used by the insured, if any, and if there is no proposal for their establishment and development.

7.       Coordination and cooperation with institutions concerned with controlling risks (governmental, private, public)

8.       Study cases of support requests for the purpose of reducing losses.

9.       Implementation of loss reduction programs for all insurance departments.

 Second, the risk department’s relationship with other departments:

               1.         Agreeing on an effective mechanism for implementing risk recommendations.

               2.         Opening channels for the flow of information on written risks.

               3.         Providing detailed information about the risks that occurred.

               4.         Providing periodic statistics on claims.

               5.         The work of this section was activated during the year 2004 to carry out the following tasks:

               6.         Studying and evaluating the risks insured by the company.

               7.         Analyze the risks geographically, qualitatively and cumulatively within the country to work on managing and controlling them.

               8.         Analyze losses and contribute to providing general recommendations to prevent their recurrence.

               9.         Establishing seminars specialized in controlling risk for the company's clients.

             10.        Providing technical advice to the company's senior management to direct its support to the relevant institutions.

             11.        Continuous support for charitable medical institutions such as the Red Crescent in Khartoum State.

             12.        Supporting the Central Intelligence Agency with a car as a moving lab.

             13.        Supporting hospitals located on the highway.

             14.        Support the stricken states that were subjected to torrential rains and floods.

             15.        Supporting highways with general traffic signs.

             16.        Supporting civil defense units in the capital and the various states.

             17.        Support and maintenance of the old Atbara.

             18.        Supporting the Arab Traffic Week annually.

             19.        Completion of the illuminated signs project on the Atbara Al-Tahadi Road, Khartoum, which aims to cover all national and important highways.

             20.        The protective fluid for tires has been certified and distributed on a commercial basis.

             21.        Implementation of the express ambulance project on the following national roads, with an average of ten fully equipped ambulances, at a value of one hundred thousand pounds per ambulance. The roads are:

             22.        (Madani-Khartoum Road - Khartoum-Kosti Road - Al-Abyad-Kosti Road - Atbara Port Sudan Road - Kassala Civil Road).

             23.        Work to establish an accident hospital or a fund to contribute to the treatment and rescue of the injured.

             24.        Supporting the fire brigade by purchasing new fire trucks that are used throughout the country.

             25.        Supporting the Government of Southern Sudan in establishing a unit for highways and ambulances, and supporting the Southern States Traffic Police.

             26.        Training the cadres of all institutions on safety and firefighting methods.

             27.        Supporting large institutions with some safety means.

             28.        Study and analyze the causes of accidents on highways and work to treat them with the competent authorities.

             29.        Establishing a specialized unit concerned with the petroleum and electricity sector to contribute to shielding all the risks it faces.

             30.        Transferring the experiences of other countries in reducing losses.

             31.        Contribute with the competent authorities to treat the negatives and problems of agriculture in its crop and animal divisions, and establish a specialized department in this aspect.

             32.        Work on training doctors externally to deal with accidents.

             33.        Participate in preparing and providing the necessary statistics that show information related to traffic accidents in Sudan.