Fox News Magazine 11 by FOX REGULADORA DE SINISTRO

11th edition/ March 2018

magazine

Risk Management with Information Interchange One Risk Global, the newest Fox Group company, innovates on sharing information of the global insurance market, allowing analysis and controlling advancements of claims.

Event

Chat

Haüptli Lawyers & Associates holds the workshop “Financial Lines and Civil Responsibilities” with renowned speakers to discuss the news of the segments.

Roberto Santos, the executive vice president who is preparing himself to takeover the direction of Porto Seguro, talks about his trajectory and management plans.

FOX GROUP REGULATION AND AUDIT

Transports (Investigations / Audits / SOS Cargo) / Protocols Audit / Property (Industrial/ Commercial / Residential) / Legal Counseling and Refund / Engineering Risks / Godds Recovering (Cargos / Vehicles, etc) / DPVAT Audit / Automobile / Life / Lender / Rental Guarantee / Credit Guarantee / Rural Insurance

www.foxaudit.com.br / contato@foxaudit.com.br Phone: 55 11 3858-3234 / 0800 109687

EDITORIAL Grupo Fox

Continuous Entrepreneurship and Innovation Fox Group does not stop growing and developing. The constant entrepreneurship and innovation initiatives seek to improve our services in order to offer the best analysis and risk prevention of claims.

Fox Regulation & Auditing Av. Francisco Matarazzo, 1752, 17º. andar Pompeia - São Paulo - SP - CEP 05001-200 Telefone (11) 3858.3234 / 3965.9001 E-mail: contato@foxaudit.com.br

Haüptli Lawyers & Associates Advisory / Litigation Av. Francisco Matarazzo, nº 1752, 24º andar Pompeia – São Paulo – SP - CEP 05001-200 Telefone (11) 4858.3644 E-mail: contato@hauptli.adv.br

It seems that at each edition of this magazine we have a new enterprise to present. After more than 20 years of tradition of Fox Claims Regulator, we have created Fox Group, with the expansion and partitioning of the legal department which resulted in Haüptli Lawyers & Associates that works separately from the new Fox Regulation & Auditing. The third member of the Group was MedFox, an occupational and preventive medicine company which complemented the services offering medical expertise in the analysis and prevention of claims. Now, making our service even more complete we have launched One Risk Global to actuate on sharing and management and use of global information of insurance risks. They are different fronts that allow a full risk analysis and with seriousness, expertise and commitment of our team we keep growing, expanding and increasing

MedFox Medicina, Odontologia e Perícias Av. Francisco Matarazzo, 1752, 9º andar Pompeia – São Paulo – SP - CEP 05001-200 Telefone (11) 3862-4848 E-mail: atendimento@medfox.com.br

our market outreach. Our integration to the market has been occurred in other ways as well. Besides our traditional involvement in events of transport insurance, especially for our partnership with CIST, we ventured the creation of our own event. The workshop Financial Lines & Civil Responsibilities that happened in the second semester of 2017 was a success and it was supported and participation of our insurer partners. We are planning new encounters, probably in other locals and taking other subjects to the discussion. This integration and contribution to the market is also in evidence with the release of another edition of our Fox News and the participation of so many renowned executives with articles and interviews granted to our team. It is great satisfaction and pride to continue growing sustainably and with valuable professional relationships. Stay with us! Boa leitura! Good reading!

Paulo Rogério Haüptli Alexandre Massao

Partners at Fox Regulation & Auditing

OneRisk Global Av. Francisco Matarazzo, 1752, 5º andar Pompeia – São Paulo – SP - CEP 05001-200 E-mail: info@onerisk.global

Produção Fox News Thaís Ruco - Responsible Journalist Mtb 49.455 - thais@thaisruco.com.br Felix Ryu - Graphic Project - Teckel Design felixryuinoue@gmail.com English version translated by Agnes Andriolo and Nathalia Loureço

SUMARY

Editorial Continuous Entrepreneurship and Innovation

Environmental Insurance Environmental Responsibility of the freight conveyor

Event Insurers attend to the workshop “Financial Lines & Civil Responsibilities” held by Haüptli Lawyers & Associates

Fox Group in the Media Insurance Guarantee and Civil Responsibility grow

New Hiring More professionals joined Haüptli Lawyers& Associates

Chat Porto Seguro future president talks about his trajectory and management focus

Cover Risk Management with Information Exchange

Cover Fox Regulation & Claims offers a new line of consultancy about engineering risks.

Regulation Commodities X Claims of Equipment and Machines

Transports Re-insurance in Transport Insurance

Trends The promises for the Insurance Market in 2018

Life Personal Insurance was highlighted in 2017: for the first time the segment Life overtakes Auto

Event Fox Group and Haüptli Lawyers present their services during the 5th ExpoCIST Symposium

Health Preventing is the best medicine

Market Company bets on planned and sustainable growth

Events Fox Group reunites employees and partners in a great fraternization party

Insurance Culture The protection value in a growing country

Qualification Postgraduate course in Transports starts the second class

Analysis Infrastructure and multimodality: Brazilian requirements for efficient logistics

Legal The important role of an internal legal department and its challenges before the society

Market The greatest Conec of all times

Strategy Insurer takes over the 24-hour assistance area and creates jobs

Sharp Tongue “This spell checker more hinders than helps.”

Risks Global study points environmental and technologic risks as the feared for 2018

Automobile Insurance: autonomous vehicles and drones

Representativeness CIST will have new management board for the period 2018-2021

Other Reading Us and Them

ENVIROMENTAL INSURANCE

Environmental responsibility of the freight conveyor Sustainability and environment are themes of corporate agendas around the world and the environmental insurance is an important risk transference tool “from cradle to grave”. In Brazil, the environmental risk insurance, most of times lies to the civil responsibility insurance by sudden pollution. This pollution is understood as an accidental event, sudden and abrupt characterized by emission, discharge, dispersion, detachment, escape, emanation or leakage of toxic or polluting substance. The companies with potentially polluting activities hire the insurance of Civil Responsibility for sudden pollution in order to cover personal or material damage caused to third parts, also costs of possible legal actions and analysis expenses, identification and treatment of environmental risks. Nowadays, we live in Brazil a moment of dissemination and awareness that results in the perception of the risk. During the last years there has been a significant growth of accidents and consequent demand on the transport product and for this reason we see the activity of environment protection agencies and the continuous evolution of the laws. There are few specialized companies on emergency assistance with a broad territorial coverage and the operation way in the co-responsibility system brings

new risks and new demands. There are several business segments which need this protection and the benefits of the environmental risk insurance to perform their production and/or transportation of products. This does not mean that there is a high demand for the insurance, yet. The increase in business on a global scale has worked as a lever to boost the number of contracts, either because a greater number of tasks increase the likelihood of environmental accidents, or because insurance can be a competitive differential for a company before its competitors. The three main market segments which hire the most the environmental risk insurance due to the risks that they present and due to the possible international impact of their accidents are: 1) Chemical and petrochemical industry for the huge potential of environmental claims caused by their activities that can result in fatal victims and a high level of material damage; 2) Ore and Steel Industry since besides the environment degradation caused by the mineral extraction itself, other cause to keep the risk insurance is the continuous growth of the production due to the exportation; and 3) Transport of detrimental products to the environment, the danger of accidents due to the poor conditions of our roads, frequent traffic recklessness and human error, stimulated by many hours of work. The environmental risk insurance is not mandatory in Brazil. As it is difficult to limit potential situations th at can cau s es environmental claim, even more difficult it is define standard coverage for the risk. At first, there is not any standard environ-

Paulo Rogério Haüptli is founder at Fox Group, Owner Lawyer at Haüptli & Associates, professor in graduation and postgraduation of Transportation Insurance at N at i o n a l I n s u r a n c e School , in addition he provides trainings for insurers.

mental risk insurance in any part of the world. The United States has presented advances regarding the responsibility for environmental damage and in Europe the environmental risk insurances are still bellow the needs. The verified aspects for identifying, analyzing and evaluating the risks in an environmental accident can vary. Depending on the extension of the claim, the experts hired by the insurance company will verify mainly the adequacy of the protection systems, the contingence and emergency plans, as well as the maintenance of the buildings and equipment; operational processes; and property security. The determination of causes is a preponderant factor when a claim is incurred, even though there may be the co-participation of other companies in the production of damages, which will not always be insured by the same type of insurance. The assessment of environmental damage is a difficult matter, but not impossible, according to the technology currently adopted and composed of several scientific methods, in full development and evolution. All the surveys carried out generate reports and may even serve as a basis for recommendations, aiming also at reducing risks and taking protective measures, whose objective is the renewal of insurance. The environmental claims always show us lessons for a subscription in all meanings and insurance segments.

EVENTS

Insurers attend to the workshop Financial Lines and Civil Responsibility from Haüptli Lawyers & Associates Haüptli Lawyers & Associates specialized in Insurance Law is part of Fox Group and it held the workshop “Financial Lines and Civil Responsibility” which happened in October 17th 2017 from 09:00 to 12:00 at Maksoud Plaza Hotel in São Paulo. There were three panels presented by renowned executives from Insurance Companies which included debates of the attorneys Dr. Bruno Gusmão and Dr. Thalita Graciolli, from Haüptli Lawyers & Associates. Rogério dos Santos Gonçalves, Warranty Director at Axa Brasil Seguros, presented the lecture “Current Warranty Insurance Scenario”. Luiz Gustavo Ferreira Galrão, Financial Lines and Civil Responsibility Superintendent at Argo Group Seguros, talked about “The importance of Civil Responsibility Insurance aimed at the Civil Construction sector”. And, at the closing, José Marcelino Risden, President of Berkley International do Brasil Seguros explained “The Warranty Insurance Market in times of crisis”. Paulo Rogério Haüptli, Director of the company, defends that renowned speakers in Financial Lines and Civil Responsibility were selected in order promote debates about the actualities of the segments between Insurers, brokers and specialized lawyers present in the event. To attend to the event it was requested the donation of one kilo of non-perishable food (delivered at the local and day of the event) destined to “Associação Beneficente Vivenda da Criança”. Due to the success of the event and to the demand of other Haüptli Lawyers & Associates partners on acting as lecturer, there will be new editions of workshop. The next workshop is scheduled for the month of June 2018 reuniting once more renowned professionals of the sector.

FOX GROUP IN THE MEDIA

Warranty Insurance and Civil Responsibility Growing The workshop Financial Lines and Civil Responsibility held by Haüptli Lawyers & Associates was highlight in “Apólice” Magazine in a two-page story which shared the information: “Warranty Insurance should take up its breath”.

NEW HIRINGS More professionals joined Haüptli Lawyers& Associates level). Practice Areas: Business Law, Civil Law and Insurance Law. Contato: carolina.naves@hauptli.adv.br

Carolina Naves Magalhães Graduated in Law by Pontifícia Universidade Católica of Minas Gerais (PUC-MG), post graduated in Public Law by Faculdade Damásio in São Paulo and post graduation student of Civil Law at Pontifícia Universidade Católica of Minas Gerais (PUC-MG). Member of the Brazilian Association of Tax Law Young (ABRADT Jovem). Volunteer at Association “Il Mantello” (Italian Association of International Adoption). Languages: English and Italian (basic

Alexsander Guilherme Carrocine Ferreira Studying the seventh period of the Law University at Faculdades Metropolitanas Unidas (FMU). Gabriela Rocha Graduated in Law by Universidade Nove de Julho. Fluent in English. Practice Areas: Civil Law, Consumer Law and Insurance Law. Contato: gabriela.rocha@hauptli.adv.br

Contato: guilherme.ferreira@hauptli.adv.br

Ha체ptli Lawyers & Associates it is a lawyer office endowed with advisory and contentious expertise necessary to answer to the insurance market needs.

Areas of business 타 Warranty Insurance; 타 Civil Responsibility, D&O

and E&O; 타 Reimbursements at the

administrative and judicial levels.

www.hauptli.adv.br

CHAT

Porto Seguro Future President talks about his trajectory and management focus. Roberto de Souza Santos, Porto Seguro Seguros Executive Vice-President, goes through the succession process to assume the direction of the company which will happen this year but yet without a announced date. He is 56 years old and has 38 years of experience in insurance, 15 year at Porto Seguro. He is from Rio de Janeiro, still in process to move with his family to São Paulo in order to assume the new great challenge. He talks about his trajectory and his management plans which he summarize in two points: closeness with brokers and process simplification.

in life that everything has a better way of looking at what happens. With this change I ended up at the commercial area as General Director at Finasa Mercantil de São Paulo, responsible for the operation in Rio de Janeiro and after Minas Gerais, too. This put me in contact with the sales area and I liked it. After three years I was invited to work in a

Tell us about your trajectory on Insurance market. Roberto Santos – I started my career at SulAmérica head office, in Rio de Janeiro, in 1980 as administrative assistant, working at Life Insurance area. There I started my career and I never aspired to reach the position I am today. I was part of the training of insurance technicians; I worked in several technical areas of the Insurer, in claims as well. At the end of the year 1989, I was Manager of the area of hull and aeronautic, but I thought there was no more space for me in the company and then I resigned. Then I started to work as Technical General Manager at the head office of a small insurance company called Boa Vista Itatiaia, which was owned by Boa Vista Bank. In the first company I was a small gear, in each area that I had worked I could not see the whole, in the second company I started to have the skill of the systemic vision, to fully know how a company works. After three years the company was sold, and 30 days after, I had been employed again. I have learned

the teachers, who were from the USA, to spend the day on the beaches in Niterói where I lived, in this way I could practice English all day for free. After four years I was invited to work at Generalli. I was in charge of the sales and the technical area and the claim area as well - that is, insurance from beginning to the end. Then I was invited to work at the French company Axa, back to the sales area, and we did a job to organize the company. After the head office decided to sell the Brazilian operation and Porto Seguro was the one to buy it. At Porto I found my company, I identified myself with the whole culture. How was your Professional development at Porto Seguro?

multinational company called General Access (GA). It almost did not happen because I did not speak English, that time this was only available for children of rich people, I was son of a lathe operator and I did not have the opportunity, but I did dreamt on it and I committed myself to learn it. I took private classes in the company and on Saturdays I used to take

Roberto Santos – I started at Porto Seguro through the acquisition of Axa Seguros, since the beginning I was the General Manager of Azul Seguros. We built a strategy to be the second price of Porto Seguro, the preference of the brokers and costumers. It is a lighter product with a more competitive price – the idea was to offer first the Porto insurance and if the deal did not happen, we offered the Azul insurance. At that time the company had 247 employees and 80 thousand items, nowadays it has 510 employees and 1.900.000 items. It was a successful case. I went through some barriers, until one moment when Fabio Luchetti (current President) invited me to take over the Operational Directory of Porto Seguro, together with Azul. I was at Azul head office in Rio de Janeiro and two days a week in São Paulo, looking after the of issuance, dispatch, tariffs, of all segments. It was very good

had accrued this positions because through the operational area I started to understand Porto Seguro in details. After this I was invited to take over one of the Five General Directories and at this point I also took over the areas of Health, Dental and Labor Health. I had never worked in health area before. It is a complex area and today we have very good figures, quite impressive comparing with the market. In 2016 I left Azul and took over the Property and Financial Risks of Porto Seguro – residential, business, transport, agribusiness, financial risks, guarantee, capitalization and consortium. That is, I went through the whole company and most recently I took the executive vicepresidency. And what was it like to receive the invitation to be the next president of such an important company? Roberto Santos – At Porto Seguro we have a target that the executives must work until 63 years old. I had too many accumulated positions and I thought if I would stand them all until that age. On April, last year I was in the farm of Dr. Jayme Garfinkel (shareholder and President of the Board of the Company), he always takes two executives at a time to spend the day with him, this day I went alone because the other executive had some problem, and he asked me what I thought about the future. I told him I did not want to stop at 63, I was thinking about stopping a little earlier, despite being in the company for 15 years, I might slow down. My family has not moved to São Paulo yet, but for many years I have been spending the week in São Paulo and at the weekend I go back to Rio. I am also President of the insurance employer's union in Rio de Janeiro and Espírito Santo for some years, and I have been in entities such as CNseg, Susep. In June, Fabio Luchetti invited me to have dinner at his home and he made the invitation for me to be the President of the company. I did not understand, two months ago I was talking to Jayme about slowing down. It was a hard decision because it was not in my plans, and I had to talk to my wife about it. But I started as an office assistant; I could not refuse such a noble position in my career, of being the executive that will

manage an Insurer as Porto Seguro. Basically, the idea of stopping at the age of 63 went down the drain. When I thought of slowing down my career a little, I receive this invitation to be the person who will guide the company for the next years. How is the succession process? Roberto Santos –. Within the organic transference process I am going to take over the company, we do not have a defined date yet, but it should be in 2018, I am being prepared for that. I will reap the fruits planted by my predecessor Fabio Luchetti, who is the current president of the company and who did a brilliant work, he took the company to another level, and left many cash resources. I am in transition process; I have weekly meetings with Fabio Luchetti and Jayme Garfinkel. I am also going through a coaching to complement important characteristics expected from a president that I do not have yet. I am working on my anxiety, I am anxious to do the things happen and , in my new position, I must walk together with the staff, I can not do everything by myself. What is coming with your management? is there any trait of your work? Roberto Santos –. My work will be focused on acting in the processes matters and keep on with the part of the relationship. I think we can do a lot to make our processes lighter, let everything less complicated in order to make easier the commercialization of our products, this will be a strength in our management. Another important matter, which is my signature: I am good at dealing with the insurance brokers, I like it, so I believe I will be very close, supporting my production line. Strategically it makes sense; we have invested a lot in infrastructure in the company, so now we need to make it take another leap in the Brazilian insurance market and in the service market as well. My role will be very much linked to doing business, that is why the need to be close to the broker. I believe a manager is not able to take any business forward and make it grow if he does not know how to deal with people and processes. I defend

these two pillars a lot, my whole career was based on it, I don not know how to work in a different way, and it will be my investment at Porto Seguro: closeness to the partners and simplification of processes. Porto Seguro has developed a lot and with this it became a little complex. We need to be simple on doing the things; it is almost a rescue of the past. My profile as executive is to be more pragmatic, implementing simple processes. Then, you will keep the trait of Porto Seguro on cherishing the partnership with the insurance broker. Roberto Santos – The relationship is one of the most important guidelines of Porto Seguro – within our guidelines, our culture; the relationship matter is very strong. The broker is and will be always our distribution channel; there is not any other company in the insurance market that dedicates so much to the broker as Porto Seguro. We totally support the beginner broker in the same way we support the brokers that are already in production. The good care, the good treatment are part of our DNA, they are really present in our culture and we dedicate a lot to them. And of course, the relationship with the broker is part of the state-of-art of the service. For this reason, I like to be on the streets, to listen the broker who is on the front with the customer where everything happens. So I really like being on the street, listening to the broker, who is at the tip with the client, where things happen. With the broker is the truth, the learning, if you stay inside the room in the air conditioning things do not evolve. Within this relationship line, Porto Seguro cares about the health of the broker business, and one of the ways we understand for the broker to have longevity and to perpetuate itself is precisely having more products available. Nowadays we including have a mobile phone technology, the Conecta. All this always keeping in mind that we only create products that can be distributed by the insurance broker, this is our line, any product has to be primarily commercialized by the broker.

COVER

Risk Management and Information Exchange

The new Fox Group company undertakes by improving the information sharing on risks in the global insurance market, enabling advances in the analysis and claims controls. In February 2018 One Risk started operating, the newest Fox Group c o m p a n y. To g e t h e r w i t h F o x Regulation & Audit, Haüptli Lawyers and Assiciates and MedFox, the fourth company of the Group comes to complete the gear of services for a total analysis of the risks. “The risk management done in a more precisely way is the one which has a multidisciplinary analysis. It is not enough, for example, sending an engineer to analyze a shed, if he does not have the support of a lawyer to analyze the legal consequences, if the structure complies with environmental, civil and construction legislation. They are multidisciplinary teams that will work together to give the needed support.” says Bruno Gusmão Lacerda, lawyer at Fox Group. In this way, the new company consists of experts with extensive experience in

the risk engineering sector, underwriting, claims regulation and fraud as well as expert professionals in IT area.

management and more than 10 in private surveillance, armed forces and police. His last position was as a industrial risk engineer for Latin America at HDI-Gerling. “Na engineer graduated and experienced in Europe, Jan has differentiated techniques to do this kind of job here in Brazil” says Dr. Bruno.

“Besides the professionals specifically hired for working at One Risk Global, the idea is that every company in the Group work together, w i t h d i ff e r e n t c o n t r i b u t i o n s a n d analyzes. In a specific case it can be necessary the work of a lawyer and a claim analyst, on other case it can be necessary the analysis of a doctor, for example. Everything is possible when you talk about management, because nowadays everything involves risks” says the lawyer. The company comes up from the partnership with the German Executive Jan Oliver Mollien who takes over as founding partner and technical expertise, he has more than 20 years in this market - 10 years in risk

Jan Oliver Mollien, , founder partner and technical specialist at One Risk Global

and scenarios.” ponders Jan Oliver Mollien. “For example, in the United States there is a great experience on fire prevention, but Mexico has a great knowledge in theft prevention, because there the need is higher. In Netherlands there is a great experience on building dikes and with inundations. Each country has a lot to learn with the experience of the other countries.” says Jan.

Bruno Gusmão Lacerda, Lawyer at Fox Group “In my opinion, there is not a better or worst country in the matter of risk management. What happen, it is that each country has different experiences

Most times it is not necessary develop new rules and regulations, but rather do the transference of the existing knowledge from other countries which, most times, can be cheaper and more favorable. One Risk is a company which has tools that make the communication between its agents and the risk management simpler. “We will bring specific information from each country and make them available to the others. We will create a

database with all risk information from the market, crossing them and generating new other information and analysis in order to reduce specific risks of each one of our customers.” assures the expert. “Systems for computers and smart phones will be implemented to work in several languages, in this way better serving and integrating information for companies all over the world. As we are going to work with companies from different countries, we will ease the co mmu n icatio n , s h ar in g th e r is k information in an international base” says Jan. Target Public One Risk Global does not only provide service to the insurance market, but it offers support to companies in general. “It is a Risk analysis and management company which offers expertise in risks

COVER

prevention and management and will not only provide service for Insurers but it has the differential of being able also to attend a company that wishes to reduce its risk. This is new in Brazil, because if companies do not have a complete insurance culture yet, they have even less risk prevention and risk management. Here the thinking is more focused on solve the problem, after the occurrence of the claim, and the idea is to prevent first of all”, says Dr. Bruno. Focused on the development of information technology solutions, One Risk Global brings innovative solutions on risk management and business intelligence to the insurance, re-insurance, logistic markets as well as to the industry, commercial and services sectors. “We are a company with the target of helping the organizations to reduce the losses and build exceptional results by the improvement of their management

systems.” summarizes Jan. Among the companies that are being already assisted, besides the insurer companies which are Fox Group clients, we have a vehicle manufacturer, an automotive lubricant producer company and a commodities company. One of the first cases that One Risk Global performed was an inspection that analyzed coffee bags of a company from Geneva that imports Brazilian coffee. The bags were stocked in a shed with leakage problems that destroyed part of the production. The company gave the opinion of what to do in the shed to improve and prevent the problem from happening again. In this first stage, the company is offering service in marine and property areas then the service will be extended to the other insurance segments. “We are going to create a database with all risk data of the market and crossing

over we will obtain new data and analysis to improve the prevention and reduce the risk. Nowadays every Insurer has several product lines – property, marine, liability, etc – and each area is independent. In a big costumer, like a vehicle manufacturer, there are all this product lines inside the company. To the manufacturer it is only one risk, but the Insurer looks at each risk as one department. One Risk Global will create an integrated database which will embrace all the inherent risks in the company's activity. The Insured will not inform several times about the risk, only once, from then on the information is ready in the system. “We are working for the system to do an automated analysis, comparing it with the standards of each country. “ says Jan. “With the new company, we open the international market for the Fox audit as well, offering our services from Mercosul to companies around the world.”

Global operation for companies risk reduction in all countries Scenario The world is changing faster than ever and the information becomes more and more important to lead multinational companies towards the future. Difficulties Every executive and entrepreneur from all business sectors in all management positions know exactly what means to get thousands of unstructured information every day. The information must be collected, analyzed and understood which spends a huge part of the valuable work time. The companies face an avalanche of information which provides more information than they are able to process. This results in an information

overload that brings considerable problems for the good performance of the companies and their processes. When we talk about an international business, the process gets even more complex due to the cultural and linguistics differences, lack of international experience and restrictions based on the nationalities. The misunderstandings can cause delays, misconception and financial losses to the companies. Solution The insurers, re-insurers, brokers and risk managers of the companies around the world look for precise information in order to perform a better analysis of the risk, giving to the partners and shareholders better results an a proper control of the risk level.

One Risk Global came to provide the companies worldwide a necessary tool to reduce the risk level, to offer more flexibility, regional information, safety standards and much more.

info@onerisk.global

Your risk is only one click away

www.onerisk.global

COVER

Fox International offers a new consultancy line on Loss Prevention Fox Group, which has been active in the Latin American insurance market for 23 years , in several segments as marine, property, equipment and machines, vehicles, life, risk engineering, indemnity, expertise among others, is honored to inform that has added to its already experienced engineers team of Fox International the German executive Jan-Oliver Mollien. Civil Engineer and mastered in loss prevention and fire in Europe, JanOliver Mollien was in the German army working in loss prevention consulting, risk management and security in all continents. The executive comes to contribute with his vast knowledge and to apply his techniques not only in Brazil, but also in all the markets that need this consultancy. Fox International is focused on high level consultancy of loss prevention for national and international customers in Americas. “Since the first operation day we received several services requests – most contracts are with multinational companies from Europe and USA, which have projects in Brazil, Mexico, Colombia and Paraguay. This expertise from Germany allied with the Brazilian reality and the other countries from Latin America make possible for Americans and Europeans to develop their projects with greater security ", affirms Jan-Oliver.

This projects are already running, as inspections for different risks to the insurance company and other companies, in Marine, Property, P&C areas, etc. “A small example: inspection in heavy cargos, food transportation, floor plans of petrochemical companies, automotive suppliers, retailers, commodity sheds and projects in execution that include cargo theft analysis, with risk prevention". According to the expert, what customers appreciate at Fox International is the fast, individual support as well as the deep practical knowledge in the several business lines that have been acquired and improved over more than two decades of experience. In addition, Jan-Oliver Mollien, who has worked on projects in North America, South America, Europe, Africa and Asia, adds his extensive international experience to Fox Group, which has an intense participation in Latin American market. This combination offers the companies outside the Americas access to important information. Fox Group has other companies as Haüptli Lawyers & Associates, MedFox and OneRisk, which work together and offer services in several different segments to its costumers, that is, this union of professionals from different technical areas ensures the customer the delivery of a complete work.

“In the risk engineering analysis we perform all necessary tasks for risk prevention, however, the expertise of the engineering team goes beyond the work, with enough experience to show other risks, such as job security, civil responsibility risk, environmental risk, health risks and others not less relevant. Our philosophy is to point out important information which will give support to the insured and the companies in general, in order to minimize the business risk, protecting the financial resources to go on with their projects. Fox International emerges to the market as a strong information tool, aiming for greater assertiveness in the customers operations."

Images registered by Fox Group experts during the performance on the new business line.

REGULATION

Commodities X Equipment and Machines Claims The grain harvests breaking records year after year, both in terms of volume produced and planted areas; besides being the largest sugar producer in the world they place Brazil in the spotlight on the world commodity scenario. Customers as China, United States, European Union even Middle East guarantee the destination of big part of the soy, corn, rice, bean, cotton, coffee production among others. With the help of the agro business as a whole and the internal consumption of the families, there are experts who believe the segment shall be the main responsible by the fall of the economic recession. In order to the wheel to keep spinning, more and more it is necessary the investment in technology and mechanization of production which is not a privilege only for the big producers but also for the small agriculturist. A little while ago, there was only one harvest a year, nowadays there are two (harvest and interim-harvest), but for some cultivations it is already being talked about a third harvest. In this way, the work shifts rise in order to handle

the production and consequently the need for new machine acquisitions appears, not only due to the parts wear but also for the permanent losses.

Alexandre Massao is partner director at Fox Group Regulation & Auditing

In light of the facts above mentioned, it is important to detach the increase of the machine and equipment claims. Fire, theft and robbery are constant complaints. In the claim regulation is very common to find a situation in which the intense use of the machinery causes losses. When the normal situation would be the use of the machine for one to two shifts, we found cases where the same harvester was operated by three employees in 8-hour shifts, that is, 24 hours of almost continuous use. The recommended procedure would be, for each period of use, the equipment undergoes a procedure of cooling, maintenance and mainly cleaning. This last is the most important because when the machine is operating on very high temperatures makes the residues of the harvests as small branches, leaves and especially accumulated straw become combustion agents, worsening the scenario when in contact with accelerators as lubricants or fuel starting the fire.

The agricultural production growth also influences the claims of thefts and robbery of machines and equipment as tractors, motor graders, wheel loaders, excavators and backhoe loaders. The inspection works usually requested show us countless situations which depict the subtraction of machines or supposed subtraction. We can mention the following: 타

Gangs specialized on stolen machines and resell them to small agriculturists;

타

Opening of an equipment theft claim which in fact it is rented or sublet;

타

Transference of machines to the rural area of other state and subsequently an occurrence registration in the origin state is issued, making difficult to find them;

타

Complaint of an equipment claim which is hold in the farm but it has is engine number plate removed or modified trying to make difficult its identification by the expert.

At last, there are countless cases which deserve intensified attention from the insurance companies as well as the regulatory and claims advisors.

TRANSPORTS

Re-insurance on the Transport Segment There are transport insurance policies dealt for one embark – “single shipment” – commonly used by companies that have a small volume of shipments, when the contracting of an open policy does not make up for the volume, not to exceed the minimum p r e m i u m u s u a l l y c h a rg e d b y t h e insurers. The pre condition and volume required for an open policy to be economically feasible are relatively low, that results that the transport insurance market is practically formed by this modality. The open policies are classified as completed risk as far as the charge of the premium is carried out after the occurrence of the shipments. There are two possible types of charge in these transport policies: the adjustable and the endorsed. The adjustable policies are concluded with an expectation of billing and/or movement which applied to defined fee in the insurance contract results on the premium for the period that can be totally paid or not. An endorsement is issued at the end of the validity adjusting the moved volume forecasted and undertaken charging or returning the difference of the premium if stipulated in this way. The endorsed, in turn, have a periodic charge through the application of the insurance rate that can vary depending on the route, limit, and product among others. The periodicity and obligation of the declaration varies from product to product and may occur before the beginning of the risk, daily, monthly, etc. It happens that when analyzing transport insurance open polices we are handling not with one shipment, but with a group of shipments with different characteristics according to

the client's profile. National and International Transport Insurance, that involves a specific shipper and when it is an industry, imply that there is a flow of goods and raw materials with similar characteristics and with better defined routes. Carriers, in turn, usually run with different shippers and have greater diversity of routes making more difficult risk management actions and risk modeling as for exposure. The risk variation can occur during the validity of the policy, for example the inclusion of a new customer which means a new product that can worsen all shipments. Imagine a high value-added good, ready for consumption, easy to be sold and small size included during the validity of the contract in an operation without other goods like that. The inclusion of this good aggravates all the others, if it is transported in the same vehicle or stored in the same local. The Transport Questionnaire catches information about the insured, as c o m p a n y n a m e , C N P J , t u r n o v e r, number of trips, own fleet composition, type of vehicles, outsourcing of conveyors, aggregates, autonomous drivers, main logs, medium, maximum and total amounts moved, coverage of storage, risk management companies, risk management rules, main products moved, claim rates and desired conditions as limits, rates and deductible. The Insurers, with these information, analyze mostly going through the following steps: verification of the financial situation of the company, framework in the main routes of RCTR-C rates to obtain a medium rate

Domingos Pozzet ti, Transport Expert at ARX-Re Reinsurance Broker. He had worked in the Transport Insurance market for more than 10 years. He is Chemical Engineer and post graduated in I n s u r a n c e Management and Private Pension.

and later to apply a commercial discount which will vary according to the type of good and management measures. Another analysis usually carried out by the Insurers is the “Burning Costs”. In this case, it is taken into account the total of claims and the exposure during the previous year and the movement forecast for the next year, the rate to be commercialized and the forecast of the claims considering the history to forecast the outcome of the account. If the deductible changes the method of “AS IF” is included in order to foresee the behavior of the account in the new scenario. The re-insurance brokers usually include in their processes an instruction which we call “Portfolio Approach” to the transport risk, which means the need to send a complete list of shipments of the last 12 months in order to verify the main routes and rate of values. The technique provides a better understanding of the exposures, efficiency of the risk management rules, it highlights the impacts, imposing restrictions or stepping up the rules and adoption of deductibles. It is possible to see that the Insured companies that operate the Adjustable mode have a big problem on providing the shipment list and in many cases it is latent the total unawareness of the customer

operation even if it is a renewal. The use of optional re-insurance allows the risk dilution, as part of the risk is assumed by the re-insurers, as well as the possibility of using intelligent protection structures which remove part of the volatility from the business. There are Insures which demand high limit levels by shipment or accumulated, resulting in exposures in which the insurer can not or does not want to assume integrally. We immediately think on dividing the risk proportionally with some reinsurer using the method “Quota S h a r e ” , t h a t i s t o s a y, e i t h e r b y assigning a fixed percentage of risk and premium and collecting a proportional amount in the event of a claim. However, you can wonder the case of an insured with the following risk profile: 70% of the shipment with values up to 1 million, 20% up to 2 million and 10% up to 7million. The lower value shipments are performed to whole country while the intermediate ones do not vary too much and the highest values ones have a specific route. The shipments of intermediate values and higher value

are not attractive to theft, only employed drivers and own trucks are used in these operations and unlike other shipments there are no records of losses in the last five years. The insurer in this scenario can be unable or does not want to assume the exposure of a large loss like those afforded by the largest shipments or even wish to receive much more premium for it. Using a Non-Proportional Excess Damage Re-Insurance or internationally known as “XoL – Excess of Loss” we can make viable a structure of R$5 million in excess to R$2 million in which the volatility is transferred the re-insurance market rather than to its risk appetite will analyze the business exclusively for the shipments which exceed the primary range of R$ 2 million. The Facultative presents itself as a tool that makes possible these businesses, as well as gives the insured the certainty of a process with “peer view” over the perspective of the underwriting. In this case there is the underwriting of the insurer and the re-insurer and the latter often ends up requiring more

information and implementing other analyzes such as the “Portfolio Approach” described above. The re-insurance offers the experience sharing too, the knowledge transference especially when we talk about International Transport when the specific coverage rules and fees as wars and strikes, terrorism, ships rating etc are defined based on these markets. Guarantees as “STP – Stock Through Put, DSU – Delay Start Up”, among others warranty extensions commonly used in the international market, as well as the considerations pertinent to these risks, are subject of debates for its implementation and end up enriching the discussions as well as understanding the operation of these guarantees locally. The optional (facultative) re-insurance offers risk dilution, makes available an alternative structure allocating each market according to their appetite and thus allowing eventual reduction of premium. However the use of the reinsurance does not change the reality, in other words, it does not change the claim history and the final result of the business.

TRENDS

The promises for the Insurance Market in 2018 2017 was a challenging year to Brazilian companies, this is true. For the Insurance market this was not different. However, it is possible to see some advantages, since this market sector is known for its resilience. Even so, many players reinvented themselves and bet in new models to adapt the products and processes to the new moment the customer lives. As the economy starts giving signs of recovering, there is optimism among the professionals of the area. Recently the economic news talking about a low inflation rate, employment improvement, interest decrease, average income increase, among other aspects, allowed us to start 2018 more optimistic. The confidence indicators spawn a more positive perception from the economic agents and the consumers about the situation and perspective of the future. This will surely influence the recovery, even if gradual, of the investments, consumption, hiring of

personnel and services. This will be the key element for the growth of our market this year. M o r e o v e r, i n 2 0 1 8 , r e i n v e n t i o n , creativity and focus on the customer needs and a bigger broadcast about the insurance culture must follow as strategic direction of whole market. Imagine that, according to the National Confederation of Insurance Companies (CNSeg) and the Superintendence of Private Insurance (SUSEP), about 30% of the vehicles circulating in the country have insurance, around 12% to 15% of households are insured and 19% of the Brazilian population has life insurance. These data show us opportunities to drive sales and win new customers. The expectation for the year, on the whole, is to have a solid growth of the economy independent of the political instability. At this moment, the brokers should take advantage on the insurance

Pedro Pereira de Freitas - CEO at American Life, Brazilian Insurer with more than 25 year in the market, r e c o g n i z e d fo r i t s i n n ovat i o n a n d fo r bet ting on specific niches of the Brazilian economy.

demand to understand the consumer needs and deliver true solutions to each one of them. It will be the moment of taking up the breath for everybody and the ones who know how to offer the best service allied to the best product will certainly come out ahead. For this reason, it is time to bring to the customer high quality information, show them new products and possibilities. We closed 2017 with a growth of 4,3% in earned premiums in comparison w i t h 2 0 1 6 , b e c a u s e t h e D P VAT insurance recorded a fall in revenue (33.7%), thus, American Life's specific premiums recorded growth of 12%. We consider these figures very expressive for a company that mainly operates in the area of people insurance, a scenario that, since 2014, bitter double-digit unemployment rate. The last year was very important, because besides some products launching on damage segment, we started the operation on Civil Responsibility Bus segment which put us in contact with a bigger number of players in the insurance market. We practically doubled the number of representatives and insurance brokers with the new product. This means that today we have a more robust distribution network, making easier the launching of novelties or the entrance in new segments. In the face of all this, we see growth exceeding 15% in 2018. Let's fight!

LIFE

Personal Insurance was highlighted in 2017: for the first time the segment Life overtakes Auto

The first edition of this year of “Carta de Conjuntura” from the Insurance Sector, study carried out by SincorSP, pointed out that the most relevant segment in 2017 was the personal insurance with presented growth of 11% and turnover of R$31,2 billion.

in social networks, talking that the personal risk revenue overtook the auto. The executive shows in figures how the life insurance is increasingly the importance to the sector. “I am 52 and this is the first time that the life insurance raises more premium than the auto insurance”, says. The data were obtained at a meeting held at the National Insurance Confederation (CNseg) and do not include the numbers of the VGBL and PGBL plans.

According to the Sincor-SP President, Alexandre Camilo, the moment to invest in the segment is now. “The longevity is a recurrent subject and eases the development of the insurance culture in the Brazilian people, we have more options to the consumer with the universal life insurance and there was not a better moment to boost the private pension business than now with the reforms”, he says. The elementary segments showed a increase of 5% too, with turnover around R$63billion. In the total analysis of the Insurance sector, the variation in 2017 until now is 7% with DPVAT, and 8% not taking in to account of the analysis this segment.

Molina highlights the statistics for 2017 and, in round numbers, the life risk insurance advanced R $ 1 billion more than auto insurance, reaching R $ 34 billion in revenues. “This has some meanings, all for the good. Every institutional part of the Insurance was aimed at auto insurance and it was always, and still is, very difficult for us, experts in life insurance and pension to create conditions to talk about the subject”, explained.

The President of the Administrative Council of Mongeral Aegon Seguros and Pension, Nilton Molina, recorded a video which had great repercussion

The expert comments also about the recent talk with an international insurer which has 85% of the business on auto segment. “Our central

business is auto insurance, in my insurer we are sure that this business is over”, said the executive who did not have his identity revealed. “In 5 or 10 years from now we will only have only self-steering cars and electric cars. The insurance market has understood that the segment tends to decrease, it will not go to zero, of course, but it will decrease day after day”, foresee Nilton Molina. “In other hand, the people are more inclined on buying tranquility for the future and selling tranquility for the future is our business. So, let's fight!”

EVENTS

Fox Group and Haüptli Lawyers present their services during the 5th ExpoCIST Symposium For the fifth consecutive time Fox Group has took part at the CIST (Clube Internacional de Seguros e Transportes) with a stand during the 5th ExpoCIST Symposium. The space was shared with Haüptli Lawyers & Associates , company of the Fox Group focused in insurance law. Fox Group which is active in the market for 22 years has presented a video telling all its history. Today, the regulator company makes the investigations in all insurance segments and also the SOS part – assistance for drivers who suffered toppling with cargo on the road. The legal company in turn acts in the recoveries of assets, lease insurance motions, ownership repossession, in all insurance segments, and besides that, it has a property inspection company which verifies the facilities, fire risk, inspects the local with experts and professionals who regulate and legislate the claim. The ones who visited the stand could take a look at all services provided by the companies, including the trainings in company to Insurers and withdraw of promotional gifts, plus the Fox News

magazine, which is made for customers and partners. Representing Fox Regulator were: Paulo Rogerio Haüptli, partner- Director; Alexandre Massao Masuda, partnerDirector; Marcelo Felix do Prado, General Manager; Paulo Rogerio Haüptli Junior, Khainan Lessa Guimarães and Camila Cantuário from Financial Department, Luiz Fernando Moreira Costa, Raynner Gustavo de Jesus Santosand Thais Medina de Alcântara from Transport Department; Bruna Casemiro from SOS; Melissa Zanini and Pamela Leite from Legal Department. Representing Haüplti Advogados, attended: the lawyers Gabriela Rocha, Gabriela Martinucci de Carvalho, Milzem Elizabete Ferreira, Simone Aparecida de Menezes and Thalita Graciolli; and the trainees Mayara Aquino and Pedro Akamine. To Thalita Graciolli, lawyer and partner at Haüptli Lawyers & Associates, the 5th ExpoCIST Symposium was a serious and organized event which provided the knowledge exchange among all attendants. “Extremely useful. The subjects approached in the lectures for example, cargo theft (presented by the Colonel Venâncio Alves de Moura), the named “New insurance Law” (presented

by Dr. Ernesto Tzirulnik) and the technology applied in favor of the insurance market (lecture of Roberto Uhl), they are all current topics and attract everybody's interest. Events that promote the knowledge spreading and discussion about new themes and many times controversial are always welcomed.

HEALTH

Preventing is the best medicine The preventive medicine, the name says, is the part of the medicine science that treats the prevention of the diseases adopting measures to promote the health. For a long time it was considered an area only for prevention of diseases, almost synonymous with vaccination. However this concept has evolve, took another dimension precisely because it is efficient, proving an improvement in people's life quality. Our preventive medicine programs are developed to promote health, life quality and well-being of all. Medfox preventive medicine includes the health service in company (SNE) which is the evaluation of the main health risks of the customer's company's employees. Thus, it helps to reduce the absenteeism and increase productivity in the labor market. We hold health workshops and trainings about several themes as health feeding, family planning, physical activities, stress and pregnancy. We also support therapeutic groups of smoking, spinal p r o b l e m s , o b e s i t y, a n d w e h a v e developed informative materials, prevention campaigns, programs aimed at pregnant women, patients with chronic diseases, elderly people and cases of high complexity, as well as the specific health profile of the client companies' employees.

It is estimated that for every US$ 1 invested in prevention, US$ 4 are generated for the company due to the productivity increase. In other hand, the costs of an accident or a labor disease can bring serious losses to a corporation, as lawyer charges, time loss and production decrease. In this way, it is much simpler to invest in prevention and in the safety regulation, avoiding future legal problems. SNE Program – Health in the Company The program “Health in the Company” is aimed on the adaptation of the patients to a better life quality. Its target is to insert a healthier feeding and proper physical activities for their daily life. The MedFox Team offers specialized and cross-disciplinary attendance, so that the employee finds in the same place the specialties that will be part of his treatment, strengthening the security Bond. There are food and nutrition education groups for employees who have food difficulties (overweight, obesity, and cholesterol, and diabetes, difficulties in trying foods, routine dietary adjustment, and low self-esteem). Lecturers – The prevention is always the best medicine. For this reason MedFox highlights the need of

Dr. Robinson Seabra Filho is technical director at MedFox. Graduated in Physiotherapy, graduated in Medicine, post graduated in Endocrinology and in addition is a emergency specialist doctor.

knowledge and information as a way to prevent the disease and health problems. A cross-disciplinary team actuates in order to clarify all relevant questions in lectures as “Dental Health”, “Obesity”, “Health Life” etc. Themes related to the prevention of the use of the alcohol, drugs and other psychotropic substances are also very popular in lectures in schools, companies, clubs, institutions, ONGs etc. “A Lighter Company” Program – It is the MedFox health program aimed to the weight reduction of the employees, with cross-disciplinary team support involving professionals from the areas of psychology for a complete support, physical, which directs the employee to the activities that are compatible with the employee physical structure, age etc, in addition it draws up a food re-education plan with a nutritionist.

MARKET

Company bets on planned and sustainable growth

Axa Seguros announced its 2017 balance sheet in a press conference at the end of February. The Global result of Axa Group in 2017 posted a net profit of 6.2 billion Euros, an increase of 8% compared to 2016. Revenue in Brazil was R $ 1.006 billion, up 52% over the previous year. "We started Axa's operations in Brazil in January 2015, that is, in just three years we obtained this annual result of R $ 1 billion," said President Philippe Jouvelot. "The overall result of 6 billion Euros is also historical." The executive narrated the growth trajectory in Brazil. “In the first year we produced R$156 million in premiums and we had 134 employees. In 2016, with the acquisition of SulAmérica operation, we jumped to R$658 million in premiums and 338 employees. At the end of 2016, we announced in our event at Casa Fasano to the market the local aim to reach R$1billion. We closed 2017 with the production of R 1,006 billion in premiums and we have reached 410 employees, only in the insurer, but if we add the technical assistance team which was recently integrated to the company the employee

number jumps to more than 600.” According to the president, the company grows in a planned and sustainable way. “As we have a smaller base than the other insurers, our growth impresses for the percentage, but we are growing in an organized way. We are moving up over to the profitability which is very important. We do not want to grow in a disorderly way, so that after three or five years we need to review the portfolio, our partner broker do not like to see an insurer that grows a lot and after it has to clean up the portfolio. In order to avoid this, it is n e c e s s a r y t o g r o w s l o w. We a r e growing slow, from thousand business we receive we close about 80, that is, 8% from what we do becomes deals at Axa. This because we have a selection of the risk quality, fair prices, creating a very healthy portfolio at a longterm”, he says. Axa success in Brazilian market, in his point of view, comes for the diversity of the portfolio. “There are niche insurers; they choose a product to particularly work on it. We do not want to be an insurer with widespread actuation, but

Axa aims to have a position among the three, four or five first insurance companies in the market and when you want a big insurer you can not stand in only one niche, even if it is profitable. It is necessary to select the insurance market segments in order to gradually grow.” To enter in Brazilian market and start the diversification Axa chose the risk businesses. “Because they are distributed with the brokers that are good partners on growth, usually 20% of the brokers are responsible for 80% of the national production.” Axa jumped from 400 brokers in the first year of operation to the current 4.388 professionals. “At first we could do many businesses with brokers specialized in risk business and from this the operation supports itself since the beginning. The second step we chose was the partnership with retailers and with this we have a way to distribute in a massive way, so in this way, even though relatively small in the beginning it already begins to have a national performance" The business segments that grew most in 2017 in Axa Seguros in Brazil were: physical person, evolution of 431%;

aviation, 77%; warranty, 68% and corporate, 32%. "The logic is not just to expand, growth translates into customers. We have 2,7 million customers and this shows that we are not making customer by customer, but by affinity groups, or through companies with which we have life insurance in a group of employees, and the number of clients are the beneficiaries." The President tells that while other companies face difficulties with the crisis, Axa had large capital interest investments placed in the financial market, and the rise in interest resulted in a higher-than-expected income. “Our forecast was that Selic would be 8,7% and it rose to 14,25%, so we had more financial income than anticipated, which allowed us to invest more quickly than we had imagined. And

everything we bought was cheaper, from technology equipment to office facilities. Our initial plan was to be placed in São Paulo and Rio de Janeiro. Quickly we reach seven branches and now we have 10 which are placed in the most important locals for our growth in the country.” Axa is physically present in Brazil in 10 units: São Paulo, Campinas, Rio de Janeiro, Recife, Belo Horizonte, Goiânia, Uberlândia, Porto Alegre,

Joinville and Curitiba. “We still want to be in other states, but we are already in the key locations of Brazilian Economy. In this business it is necessary to be near the customer and the broker in order to have a good understanding and keep growing.”

EVENTS Fox Group reunites collaborators from its companies in a great get-together party. To c e l e b r a t e t h e y e a r o f g r e a t achievements that 2017 was, Fox Group carried out a special get-together costume party, bringing together, besides more than 200 employees - including internal and external Fox Regulation & Claims, Haüptli Lawyer & Associates, and MedFox -, insurance companies

representatives and partner brokers. The party took place at Clube Português, in Perdizes, in December 1st. Even at the time of many year-end events, the event was a great success, and was animated by the singer Juninho FPA and Banda Ramá.

INSURANCE CULTURE

The protection value in a growing country The protection against risks and unforeseen events - many times neglected, as many events show - is part of the culture of the more developed countries and it has started to gain the trust of Brazilians in the last years, reflecting in results of the segment. In the accumulated until November, the revenue of the market regulated by Susep has grown 6.6% in relation to the same period last year. Although more timid if compared to the 9.3% expansion registered in 2016 over 2015, the indicator shows the elasticity of the insurance sector in the recession, but also reinforces the need of continued qualification of the services provided to the consumers, as well as the incentives in the government plan, so that the area continues to develop. After all, the insurance relieves the onus of governments with social protection to the citizens via social security system. And by the application of the technical reserves, it contributes to the increment of saving accounts, something that is essential to the development. The companies are institutional investors, and

the risk management is the most important contribution of this industry to the society. Uncertainties accompany the majority of the activities, be it social or economic. Properties, business facilities and capital goods are subjected to unexpected and expensive damages. The insurance provides answers to these matters, allowing that individuals, companies and governments engage in more daring activities, which, without this mechanism, wouldn't exist or would be many times diminished. In November 2017, according to data from Susep, the technical provisions of the insurers regulated by the autarchy, they accumulated the total of R$893,8 billions. Between January and November, the direct premiums, contributions and counterpart revenue collected in the areas regulated by Susep and ANS, they reached approximately R$386 billion - more than 6% of the national GDP; participation which barely exceeded the 1% of the beginning of the 90's. The economical and financial performance have been strongly positive over the years. The profitability of own capital is a more global indicator. For all regulated insurers by Susep, such m e a s u r e maintains itself high: it has reached 19.7% in the accumulated of 2017 until November and above of the obtained in the majority of the sectors of the Brazilian e c o n o m y. There is still the ' p o s i t i v e externalities',

Robert Bittar, National Insurance School president.

which means, the effects of this activity overflow to the other sectors of economy, which increases the consumption, profits, generates jobs and social well being. An example is the open supplementary pension plan - which reinforces the pension and guarantees survival. All over the world, such systems are pressured by relative aging of the population and by the concession of benefits not so sustainable. Other products, such as life and health insurance, also help to reduce the State expenses. It is easy to perceive that, in a world without insurances, families, companies and governments would have to consume less and save up much more in order to accumulate funds which would protect them from the risks. Estimates point out that more than 18 million residencies have no type of protection, only 25% of the fleet of vehicles is covered and only 5% of Brazilians acquire health insurances voluntarily, being 7% via employers. It is known that the majority of small businesses is unprotected in relation to claims and that transport insurance practically doesn't exist in a good part of the national t e r r i t o r y . Therefore, the opportunity to attend an important part of the population, since the policies are aligned with the consumers wishes, it that they are each day more well informed about their insurance rights and benefits, and the macroeconomics management helps all markets. It is the country which benefits from this combo.

QUALIFICATION

Postgraduate course in transportation initiates the second group Due to the success that resulted to a waiting list for new registrations, the unprecedented Extension Course in a level of postgraduate studies in Logistics, Risks and Claims in the supply chain, result of the partnership between CIST (International Transport Insurance Club) and the National Insurance School, will have its second group initiating on April, 28, 2018. The course proposal, which the first group has started in September 2017, is to provide holistic insight of this important economical segment, covering the entire supply chain, including logistics, insurances, claims/frauds (check out the full program bellow). The Fox Group Director, Paulo Rogério Haüptli, teaches the module Claims and Frauds, which lasts eight hour-class. Haüptli is director at CIST, like the other three professors of the course - Paulo Roberto Guedes, Paulo Cristiano Hatanaka and Helio Almeida - and they four, experienced professionals and active in this market, are the responsible for the program content, enabling students to understand important points for those who operate or intend to operate in this market of specialists.

Extension course on a Postgraduate level in Logistics, Risks and Claims in the Supply Chain

Get registered by the National Insurance School website: https://goo.gl/L22RXB

Objective – Capacitating professionals linked to the supply chain in the aspects of risks, protection and claims/frauds. Provide holistic insight in the logistics operations. Target audience - Team leaders of subscription and insurance claims, insurance brokers, reinsurance brokers, reinsurers. Service providers in the insurance segment. Consumers.

Requirements - Higher degree complete or incomplete with proven experience in the insurance market, through curricular analysis and interview with the course coordination. Workload - 56 hours class (seven Saturdays in total) Day and time of the classes - The classes will be taught every Saturday, from 8a.m. to 5 p.m.

Program Content 1. ECONOMICAL SCENARIOS (8 hours) 1.1 Fundamentals for situation analysis 1.2 Methods and practices adopted in the construction of scenarios 1.3 Economic scenario of the Logistics market Professor Paulo Roberto Guedes

lacustrine and air transport risks. 3.3 Civil Responsibility: Risk identification, analysis and mitigation 3.4 Assistance services, including cargo monitoring, reservation procedures, general damage. Professor Helio Almeida

2. LOGISTICS AND SUPPLY CHAIN (16 hours) 2.1 - Logistics: definitions, concepts 2.2 - Strategic importance of the logistics 2.2 - Evolution and tendencies of the logistics 2.3 - Logistics in Brazil: current situation and tendencies Professor Paulo Roberto Guedes

4. RISK TRANSFERENCE THROUGH INSURANCE (8 hours) 4.1 Property insurance applied to logistics 4.2 Ground transportation insurance applied to logistics 4.3 Maritime and air transportation insurance applied to logistics 4.3 Civil Responsibility insurance (including compulsory insurance) applied to logistics Professor Paulo Cristiano Hatanaka

3. RISKS ASSOCIATED TO LOGISTICS (16 hours) 3.1 Storage: risks identification, analysis and mitigation 3.2 Transports: identification, analysis and mitigation of road, rail, maritime, cabotage,

5. CLAIMS AND FRAUDS (8 hours) 5.1 Adopted procedures in case of claims. 5.2 Assistance in case of claims. 5.3 Frauds Professor Paulo Rogério Haüptti

ANALYSIS

Infrastructure and multimodality: Brazilian requirements for efficient logistics For the next years the economic scenarios for Brazil, in its great majority, were draw based in very pessimistic expectations - rightly, by the way-, in which, GDP positive growth rates are expected only in the next year. And, if it all goes well. Although the corresponding impacts have different levels, depending on the productive segment analyzed, all the companies will have your 'difficult days'. The consequence is that all of them are seeing themselves obliged to search for profitability and preservation of their positions in the market. Productivity increase as main way of diminishing the costs, reduction of the dependency of the internal economy, limitation and selectivity of new investments and strong negotiation with providers have been the way for most companies. In this search (profitability and position maintenance in the market), the companies need to improve customer service, their supply chain and their operational processes, with

important efforts in the reduction of stock and costs. This certainly, and as it has been happening for a while, has created new spaces for the logistics activities outsourcing, which, as we know, has strategic importance for everyone in the business world and it is fundamental for the companies success. H o w e v e r, a s a l r e a d y m e n t i o n e d several times, the still precarious Brazilian infrastructure will continue forcing the logistic costs up. With high costs or without appropriate logistic infrastructure, it affects the growth of a n y e c o n o m y, i n c l u d i n g t h e operational performance of the companies. The results to this situation - of low level of investments in infrastructure, with arguable quality and extremely low efficiency - can be verified by all those who, daily, need this to run their business: derisory dimension, if compared to the country size; transport matrix too dependent on the road; quality below minimum requirements;

Paulo Roberto Guedes is Logistics Expert, adviser at ABOL â&#x20AC;&#x201C; Logistic Brazilian Association

and, as one of the worst consequences, high costs. It is known by all that the road transport - which is not the one of lowest price - is the one which has the largest share in the Brazilian transport matrix: close to the 67%, according to data from several research institutes. It worth to remember: due to inefficiency and lack of other transportation ways. Actually, Brazil is quite far from the reality of most developed countries, and even from some emerging ones with regards to its transport infrastructure. Only three examples: (i) while we have 210,000 km of paved roads, the United

States has 4.2 million km; (ii) while the USA has 227,000 km of railroad, Brazil has 29,000 km; (iii) Brazil has only 19 km of ducts, while North Americans operate with 793,000 km. The book “Gargalos e Soluções na I n f r a e s t r u t u r a d e Tr a n s p o r t e s ” , organized by Armando Castelar and Cláudio Frischtak and published in 2014 by FGV Editor, describes in a clear, detailed and objective way the problems and relevant factors for the modernization of the Brazilian infrastructure. The National Confederation of Transport (CNT) in the presentation of its transport plan and logistics, affirmed with all words: 'we have spent decades without the necessary attention to the transport infrastructure in Brazil, and the government's management difficulty in investing in the way the country needs, culminates by exacerbating the current situation, which is unfavorable'. The plan presented 2.045 projects to all means of transport, in an integrated and s y s t e m a t i c w a y, a n d e s t i m a t e d investments around R$1 trillion! Furthermore, as researches made by the Logistics Institute (ILOS) and the Dom Cabral Foundation (FDC) indicate, the quality of our infrastructure is extremely low. In the ports, railways and highways evaluation, more specifically, the choices 'Good' or 'Very Good', do not

reach 2% (special Logistic article, published by Valor newspaper in 27/07/2015). The transport infrastructure deficiency, the low logistic performance and its high operational costs are always addressed subjects, even repeatedly, because it is essential that the real conditions of the infrastructure for transportation and logistics in the country are not forgotten, that are not the worst in the planet, but there is still a lot to improve. Brazil's position in the Logistics Performance Index (LPI) shows in a clear and objective way, the difficulties that the country faces in order to improve the efficiency of its logistic operations and, consequently, to reduce its costs. The LPI (Logistics Performance Index) for 2016, published by World Bank, only illustrates what is being said here: Brazil is in the 8th position between the ten first countries considered of medium-high per capita income. And although it has improved its general position, comparing to the previous position and having obtained the best average of Latin America and the Caribbean, Brazil fell, between 2010 and 2016, from 45th position to 55th, in the classification made between 160 analyzed countries. The LPI is based on the perception of entrepreneurs and executives interviewed and the analyzed factors are: 1) Customs, 2) Infrastructure, 3) Service Quality, 4) International

Loading, 5) Monitoring and Location, 6) Readiness. In 2016 it was already included, in the evaluation system, the item Competence and Qualification in Logistics. In published article in the Tecnologística magazine number 221 (National Pact for the Multimodality), written together with ABOL (Brazilian Association of the Logistics Operators) executive president, Dr. César Meirelles, we pointed that the moment has arrived for Brazil to transform the several diagnostics, studies and plans over logistic infrastructure, in regard to the past few years, in concrete and effective achievements and, in special, those focused on the development of multimodality, the most intelligent way to take full advantage of each means of transportation . It is time to seek the integration between the various players of the productive chain, as the only way for growth and development of all, and not only from that sector with major pressure power. After decades of inaction, we have already been through the problem discussion phases and we know the main causes of the so called 'Brazil Cost'. Given this diagnostic, infrastructure and multimodality have to be priorities in any government. Moreover, as it is already defended for long time by all those who daily deal with logistics.

LEGAL

The important role of an internal legal department and its challenges before the society Nowadays we observe that the competition for results demands innovative strategies and a good cost management. In this context, the internal Legal Department of a company has a fundamental role. At Sompo Seguros a very different model from the used in a recent past by most companies has been applied. The internal Legal Department usually acted very distant from the company business, many times it was apart of the operational result of the company and only presenting management costs of a mass litigation. Totally focused on bringing legal solutions and recognizing that our customer is in the center of the business decisions, we implemented since our arrival in the company, in December 2016, a strategy totally focused on translate the results obtained in the different Courts into opinions that guide, by committees with several departments from the company, the adjustment of our product to our society reality. In our opinion, other important role of a Legal Department is to make easier the understanding by our clients of the insurance market technical terms. At this

point, we believe that we play an important social role when we use the several existing tools to disseminate and clarify technical terms, such as apportionment clause (which defines the co participation of the insured in the indemnity according to the contracted policy), difference between premium (amount paid by the insured for the contracting of the insurance) and Indemnity (amount paid by the Insurance company to cover a claim), Maximum Indemnity Limit (amount defined in the policy as the maximum amount to be paid by the insurer in case of claim) among others. Aligned with the company's strategy, which seeks to implement in the customer experience skills as proximity, agility, care and relationship, we are launching in April a specific cell to monitor the legal actions of our insured, through which we will provide proactive support regarding the risk analysis of these demands, anticipating with the Broker / Insured and its attorneys the strategic guidelines and definitions related to the Insurance contract. Besides of providing a personalized service to our customer, the Insurer makes itself present this important moment that both afflicts and concerns all those who are

Felipe Jose Faraj Filho is Legal Manager at Sompo Seguros.

involved in a lawsuit. And, as the insurance is and important product that seeks exactly to bring the tranquility and well-being in moments like this, nothing more important than our worry in to provide the total support that we intend to deliver. Nowadays, our Legal Department includes trained collaborators, focused in the service to our customers, whether internal or external, always motivated to deliver solutions aligned with the company's strategy and attentive to the important social role inherent in our function. In this way, we reinforce the values of Sompo Seguros, which has as mission â&#x20AC;&#x153;generate well-being and protection to the society, providing the highest quality servicesâ&#x20AC;?.

MARKET

The greatest Conec of all times Conec, the biggest event of the Brazilian Insurance Market, grows each edition and this year it will overcome. In 2018 we will have the 18th Edition of this great event held by Sincor-SP every two years, the event started in 1982 named State Insurance Brokers Congress, but it has been for some time that brings together professionals from all over Brazil. Preparing the category for the challenges that show up more and more every day, especially because we play in a sector with a huge potential and space to be travelled, Conec is recognized to offer quality content, with relevant themes and lecturers for the moment, it is the biggest business fair of the insurance market. It combines qualification and relationship, which are indispensable for the development of the activity, not only for the insurance brokers as for all industry professionals. In the 17th Edition, in 2016, 6,600 professionals were reunited in three days of congress. The biggest challenge of the elaboration of the new Conec edition is to exceed expectations. For this reason, when one edition ends we already start thinking on the next. Reinventing and improving and event of this magnitude is a big challenge which we accept daring and undertaking. The 18th Conec, at the moment's notice, already presents great changes. To receive the growing audience - in this edition we hope to reach 10,000 participants! - The event will be held in a new location. At TransamĂŠrica Expo Center we will have bigger and more modern facilities, climated, allowing receiving and developing Conec in the most appropriate possible way and offering comfort to all, congressmen and exhibitors. In order to achieve the 10k participants, some actions were developed, starting by the special payment condition, that can be paid in 10 installments with the

credit card or charging invoice. And we have the great news with the participation of people with a collaborative link in the brokerage firms, whether employees or business partners. This was an old wish both the brokers and their employees and it will allow the ones involved on the daily routine of the broker companies to absorb this large amount of knowledge, in this way, this action will benefit the broker on the day by day, too, because the partners will be more qualified to comply with what is expected from him and able to face the market changes. Conec is a democratic event, which integrates brokers of all sizes and from all regions. Conec is from Brazil. Each edition we increase the congressmen number from other states, beyond the brokers from SĂŁo Paulo who come from all over the state, capital, coast or countryside. We are ready to welcome visitors with a complete hotel network, with a total of 1,200 rooms, to host about 3 thousand people. As it happens with other professional categories, we want the insurance brokers proudly saying to their customers he is attending to the biggest congress in their activity seeking to get more and more qualification in order to attend their customers.

Alexandre Camillo, , President at Sincor-SP (Sindicato dos Corretores de Seguros em SĂŁo Paulo).

The lecture grid will also have changes this year. We will have big lectures, with impacting themes to be discussed in the form of a single auditorium. We will c e r t a i n l y h a v e f u l l p l e n a r y, concentrating the focus of all attending congressmen. At last, I reinforce that Conec had its date changed: this year it will be on from 27 to 29 in September (Thursday to Saturday). If Conec was already the biggest insurance brokers congress meeting 6 thousand people, now we will overcome all the records. We count on the support of all sector to expand the spreading of contents and relationship, fomenting even more with the development of the class and the business in general.

STRATEGY

Insurer takes over the 24-hour assistance area and creates job positions An important strategic decision was announced by Tókio Marine Seguradora: from April 2018 the company will internalize the 24-hour assistance service. In order to create the sector Tókio Marine Serviços (TMS) R$ 20 million will be invested in systems development and hiring of 250 new employees who will be responsible by the providers net management and attendance to the clients at Contact Center. The Project will be implemented by phases, by portfolio and regions of the Country. “We are aware of the greatness of this operation, but we are very confident that by completing the portfolio of services we offer to our 26 thousand brokers and advisors, we will contribute to increase in their clients the perception of quality regarding the company” says the Tokio Marine president, José Adalberto Ferrara. According to him, the aim of the enterprise is to consolidate the insurer strategy of being noticed as a company focused in innovation and increasingly concerned about the satisfaction of its business

partners and insurers. The 24-Hour Assistance internalization will start by the Auto portfolio, including winch service, dry breakdown, tires change, etc. Nowadays with 1.61million insured vehicles, Tokio Marine estimate to carry out about 35 thousand attendances per month. The call can be done traditionally by phone or through the application made available by the Company. “Approximately 50% of our base uses the Assistance at least once a year. In acting directly, we will know better their needs, make the attendance

more efficient and provide better solutions to our customers”, says Ferrara. According to the plan, the internalization process of the Auto portfolio shall be concluded in October. In 2019 the idea is to expand the project to other portfolios as Residential, Condominium and Corporate. The TMS team will be placed in the new building beside the Tokio Marine head office in São Paulo. Besides the 250 new work positions which increases the insurer team to more than two thousand employees, the project should create about 3 thousand new indirect jobs. The president reinforce that the creation of TMS is a demonstration of the trust of the Tokio Marine Group in Brazil. “In addition to protecting people's lives and assets, we have the mission of contributing to the country's socioeconomic development, where we have been operating for 58 years. I am convicted that this great move will generate even more business for our brokers and consultancies.”

SHARP TONGUE

“This corrector more hinders than helps.” I have already heard this many, many, many times. And I understand why someone has spoken this phrase! After all, it is terrible when you trust a corrector and he only brings problems! I myself have been through this sorrow. I have written my friend's and colleague at the Santos Dumont Foundation Board of Trustees name and look what happened! He, who is ViceAdmiral, was Commander at the Eighth Naval District; his name is Carlos Afonso Pierantoni Gamboa. So, I have Just written Gamboa and the corrector “has corrected” to Gambá!(skunk) In other situation, I wrote “fragrant” – from fragrance, perfume – and he made the favor of “fixing it” to “flagrant”… I wrote “satiety” and he wrote “society”…

“rectus”, straight. By etymological definition, therefore, the corrector (Broker) has the duty to direct, guide with rectitude! Historically, its origin is very remote. In the middle of the XVI Century, more precisely 1578, Brazil was in a transition phase. The system of hereditary captaincies, implemented in 1534, had not worked very well. From the 15 captaincies, distributed to 12 donees, only two succeed: Pernambuco, with Duarte Coelho and São Vicente, with Martim Afonso de Souza. Then, from 1549, the alternative of general governments was tried: Tomé de Souza, followed by Duarte da Costa and then Mem de Sá. When the third

You have already noticed that this corrector who makes mess, is the "text corrector" or "automatic text corrector", present in the Internet communication. And it's not about him we're going to talk about! The subject this time is someone special that has the day October 12 dedicated to him: The Insurance Broker! (Brazilian Portuguese Corretor de Seguros). “A professional in the insurance sector certified in Brazil by the National School of Insurance and registered at SUSEP – Private Insurance Superintendence. He can act both as autonomous, ´private individuals, or legal entity, in a broker company, and his job is to analyze the costs and benefits related to the situation of the Insured, indicate the most appropriate product to their needs and mediate the relationship between the latter and the insurer. " The word origin comes from the Latin “Corrector” that designated a roman legal assistant who looked after the city finances. For its formation, the word used the prefix “com”, which means together, plus “rector”, which means “the one who manages, straighten”, which origin is the adjective

titular died, in1572, and also of his successor D. Luis de Vasconcelos, Portugal has divided Brazil in to governments: The North, in Salvador (first country capital) and the South, In Rio de Janeiro. The reunification came to 1578, of particular importance to us. In this year the profession broker (corrector) appeared, in Portugal, with the role of intermediate the relationship between insurers and insured. No Insurance would be valid without the intervenience of the broker. His function was different from the scribe because it was funded by the insured. This could guarantee earnings to the broker a five times than the scribe. The broker position was considered personal property and transferable.

J. B. Oliveira is Business Consultant, Lawyer, State Advisor at OABSP; Journalist , API President (period 2006-09); Communication and Oratory Professor and Writer.

In Brazil, the activity had its first law in an emblematic year: 1964! The law 4594, December 29th from that distant year, it was opened with the text: “Art. 1st The insurance broker, individual personal or legal entity, it is the intermediate legally authorized to raise and promote insurance contracts, accepted by the current legislation between the insurance societies and individual person or legal entity, public or private law. “Art 2nd The pursuit of the profession of insurance broker depends on the previous obtaining of the title of habilitation, which will be provided by the National Department of Private Insurance and Capitalization, in terms of the Law. § Single paragraph The number of insurance brokers is unlimited”. It is unnecessary to say the socioeconomic importance of the sector, it is enough to mention that, in 2016, the insurance market handled 239.3 billion Reais, not considering the complementary health segment. This meant 3,9% of Brazilian GDP. For this reason, If I hear someone saying “this corrector (broker) more hinders than helps”, I will require the person to explain:: “this corrector (the spell checker)”!

RISKS

Global study points out environmental and technologic risks as the most feared for 2018

The Global Risks Report 2018, produced by World Economic Forum (WEF) supported by the Insurer Zurich, pointed out that environmental and technological threats are at the top of the global risk ranking in terms of impact and probability for this year. This is the 13th Edition of the report, which is based in the Global Risks Perception Survey, answered by 900 members of the WEF, among business leaders, academics and civil society. According to the report data, the environmental risks rose relevantly during the last years. This tendency was kept this year, with the five risk of the environmental category being classified over the average for probability and impact from a ten-year perspective. For the second consecutive time, in the thirteen years of report, the main global risks in terms of probability are the extreme weather events. The cybernetic security risks are growing too, both in prevalence and in disruptive potential. The attacks against the companies almost doubled in Five years and the incidents, which were already considered unusual, are becoming more and more common. ”The cybernetic attacks and the massive

data frauds show up among the five main global risks by probability. The report highlights that the cost of the cybernetic crime for the companies shall represent US$8 trillion in the next five years, equivalent to the GNP of United Kingdom, France and Germany all together”, says Edson Franco, CEO at Zurich. Yet, in the economic environment, the indicators suggest that the world is finally going back to normal after the global crisis which emerged ten year ago. However the report points out that this positive image is in contrast with the concerns that must be taken into account. The global economy faces a mix of long-standing vulnerabilities and more recent threats that have evolved over the years since the crisis. The known risks include asset prices potentially unsustainable and rising indebtedness, particularly in China. Among the new challenges are the firepower of politics in the event of a new crisis, threats of intensification of industrial automation, and increasing mercantilist and protectionist pressures in a growing set of nationalist and populist policies. “Although the conventional risk

management is progressively improving, greater attention is needed to address complex risks in interconnected systems which support our world as organizations, economies, societies

and environment. There are signs of strain in many of these systems, as the change accelerated pace is testing the absorptive capacities of institutions, communities, and individuals” says Edson Franco.

AUTOMOBILE

Insurance: stand-alone vehicles and drones We are living in a very challenging technological age that we do not even know where it can go. Any prediction of whoever it is for the next ten years will certainly be refuted. It is impossible to know what we will have. At most, predictions, more or less correct conjectures. At this moment, we are around drones that will possibly do anything. We understand that even as a human transportation mean which we think it is just a matter of time, and not only as cargo transportation, as they are already being used. And it could be much more, by the way, how it is already. As spy, a snooping. And when it gets cheaper, it will be certainly a new toy that can become very dangerous. We have already, or coming soon, the stand-alone road vehicles, the common use cars and transportation vehicles. Trains are already used without the popular helmsman from the past. Nowadays they move by themselves. And, surely, we will soon have the electric planes which are already an issue at hand and, as well, stand-alone. The world will move â&#x20AC;&#x153;by itselfâ&#x20AC;? soon. The future has come; it is turning the corner where we are. With all this, and as a professor, writer, among others about transportation insurance, we have thought a lot about this matter and about the responsibility issue. It is important to think about the insurance of damage and losses for this. Both, material damage and civil responsibility and for the third party. Between standalone and non-stand-alone. We do not have anything about it yet, as far as we know, and it seems that the subject will end up being for after they are fully, or almost, among us. One more mistake, among many that we have

committed throughout history. We have to concern as soon as possible with some legislation that fulfills these empty gaps, before they complicate our lives. If there is not a proper legislation, who will be liable for damages? Will be their owners to respond for them? Or will we use the means we have seen in politics today, of blaming the dead? Or the undead? We have already seen, en passant, some few discussions in articles in the press, which means that the concern with the issue is already at hand. We also want to give our opinion about it, since we are interested in it, too. Everybody is, and must be, because the life will change a lot with them. It could be good if the movie series "Back to the Future" have given us a tip or answered about it (sic).

Samir Keedi is MBA Professor and Customs Professor, bachelor of Economics, master and author of several books on transpor t ation, insurance, logistics and international commerce.

Or will the responsibility return to the manufacturer? After all, he produced the stand-alone vehicle. If it is sold or not, the manufacturer is responsible for its construction and programming. Is it feasible to detect the real responsible? And can there be a difference in the interpretation as to whether the vehicle is in warranty or not? This shall be taken into account. After all, can the warranty be finished if it is a stand-alone vehicle? Or, and what about its maintenance? Will it be done by the concessionaries or garages authorized by the manufacturers or by independent garages? Can the garage be responsible?

As today we do not have anything in which we can drawn on, and we believe we will have this problem in a near future, how will we use the current rules to determine the responsible? On creating rules for these stand-alone vehicles, we already care about the powers of the Republic (sic) that we have today. Each government, each legislature and each judicial composition has been presented itself worse than the previous one. It seems a fate that we are not able to improve, it is the opposite, in that the three powers we only can see the defense of the self-interest. The people is just a detail. In this way, having a proper legislation which responds to everyone's interests it will be a challenge. We hope it is not for some, as it has been increasingly normal in this big camping, Brazil.

The future has come, and it seems we did not notice. We would not like to have one of these vehicles without a proper legislation and insurance covering everything.

A simple question is: Who may be held responsible for any damage or death? Will the owner of the vehicle, since it is his, paid and possibly programmed? But, if the program presents a failure, it is not accepted, it does not work, and may the owner of the vehicle be responsible?

Or will the age of the stand-alone vehicles extinguish the car insurance, because they should not have problems, accidents, etc? This is really a question to be considered. Will the insurance be relevant in this case? To be confirmed. The future is the lord of the reason (sic).

It seems to us that these are totally relevant questions that will completely change the way of having and understanding a vehicle. And these questions should be openly discussed and the legislation ready before they be in use.

REPRESENTATIVENESS

CIST will have new management board for the period 20182021 In February 6th at the Ordinary General Meeting the new International Club of Transport Insurance (CIST) management board for the period from 2018 to 2021 was presented. The single group which will be elected by acclamation is headed by the executive Salvatore Lombardi Junior, who is the Transportation Director at Argo Seguros. The new board of directors assumes management after the AGO which will happen on March 15th. The new CIST President, Salvatore Lombardi Junior, firstly expresses its gratitude to his predecessor José Geraldo da Silva for all the work and personal dedication in structuring CIST and for the entire legacy we are receiving, and he affirms that his management will intensify the work of the entity in the mission of training transport insurance professionals and also the logistics chain related to this segment. “We will look for new partnership, professionals and relevant themes for our segment, in order to attract even more associates and expand the involvement in our achievements, reinforcing representativeness in order to, together,

overcome the challenges of our technical specialized transport insurance segment”. CIST was founded in 2012 by the then

command of the ship, passing the helm to another captain, the colleague Salvatore Lombardi who, with his crew, will command during the next three years, this exciting adventure called CIST”. CIST Management Board – Triennium 2018 / 2021 President: SALVATORE LOMBARDI JUNIOR | Argo Seguros 1st Vice President: PAULO ROBSON | XL Catlin Seguros

president, the insurance broker José Geraldo da Silva, re-elected in 2015 for another management period. “Over the first seven years leading the CIST, including the entity structuring time, we had a very pleasant management, supported by the selfless way and without politic slant in the team, only the will to develop the transport insurance business. To this I assign the success of our uncountable deliveries. Now, moved by the challenge of other personal projects, in an analogy to maritime transport, I effectively disembark from the

2nd Vice President: CARLOS SUPPI ZANINI | WGRA Environmental Risks 3rd Vice President: ALFREDO CHAIA | International Risk Veritas In addition to the full executive board of executive officers, the members of the Fiscal and Advisory Boards were appointed, as well as directors for the specialized directories in each area that involves the transportation insurance logistics chain.

he medical investigation is an attribution specific for doctors. It can be carried out by the civilian or military as long as invested in function which ensures the legal and administrative competence of the professional act.

The medical inspector and dentist, through competent inspection, can conclude whether the person has or does not have the disease or if the victim of the accident resulting from the accident meets the conditions to perform a certain activity (occupation); is the so-called physical and / or mental aptitude test. The service is offered to insurance companies, banks, finance companies and companies in general.

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