Aon Launches Property and Casualty Risk Diagnostic Tools

Aon has launched the Property Risk Diagnostic and Casualty Risk Diagnostic tools to provide risk and finance leaders with data-driven insights into risk exposures, helping prioritize risk management actions.

This introduction aims to address the growing demand on leaders to demonstrate effective risk management strategies while justifying investment decisions. The Property Risk Diagnostic tool focuses on pinpointing high-risk locations and evaluating the benefits of resilience measures. In contrast, the Casualty Risk Diagnostic tackles increasing claims costs and evolving regulations, emphasizing total cost of risk (TCOR) as a crucial board-level metric.

Addressing Diverging Market Trends

The launch of these diagnostics coincides with shifts in the property and casualty insurance sectors. In 2026, U.S. commercial property premiums decreased for the first time since 2017, whereas casualty lines, such as auto liability and umbrella liability, saw significant rate hikes. This divergence underscores the need for separate analyses of property and casualty risks during renewal conversations. Christian Hoffman, CEO of commercial risk at Aon, noted clients' growing interest in detailed insights and the necessity of actionable measures.

Innovative Risk Assessment Tools

Aon's Property Risk Diagnostic, developed by its global risk consulting engineers, blends modeled and historical loss estimates while considering current risk mitigation efforts. Clients can evaluate individual site hazards, test resilience strategies, and track locations that may contribute to potential losses, ultimately receiving a resilience roadmap for continuous improvement.

The Casualty Risk Diagnostic analyzes claims data across auto liability, general liability, and workers' compensation. Using Aon’s proprietary peer database, it offers quarterly insights, peer comparisons, and a savings calculator. Initially available in North America, Aon plans to extend the tool's reach internationally by 2027.

Impact on Broker-Client Relationships

Regular updates to TCOR measurements transform the traditional annual negotiation process into a continuous evaluation, allowing brokers to proactively address client trends and performance improvements. Aon’s global risk consulting leader, Richard Waterer, emphasized that the value of analytics lies in guiding clients towards meaningful actions.

"The true value of analytics lies in guiding clients on subsequent actions."

Meeting Evolving Client Expectations

The introduction of these tools highlights Aon's strategic shift to enhance its advisory role beyond traditional insurance placement. As the brokerage landscape transforms with clients expecting more transparency and data-driven insights, these diagnostics represent a proactive response from leading brokers to evolving client needs, enhancing risk management advice and program design.