Case: Lac Megantic train disaster: Hydro One defines three steps/Phases in ERM and utilizes
seven tools. Briefly describe five and specifically how they could have been used by MMA
Railway to prevent the 2013 disaster. Do not just list the principals- explain how MMA could
have used the Hydro One approach and how it would have likely prevented the train accident.
Country-Wide Financial: In 2008/2009, Country Wide Financials market capitalization
dropped from $25BB to $3BB. Explain how the “Five Steps in the ERM Process” could have
been specifically applied by Country Wide Financial to partially or fully prevent this situation?
Explain how Country Wide Financial could have used them and how these steps would likely
have prevented the bankruptcy.
1) Risk Identification:
2) Risk Assessment:
3) Control Plans:
Management Responsibilities in managing insurance: Corporate insurance, including D&O
insurance, is a key element to a corporations ERM strategy. Management plays an important
role in making sure that insurance is properly maintained and administered. Describe each of the
1) Risk Identification, Assessment, Selecting Insurance Coverages, and Reporting to
2) Incident Response, Claims Management, Claims Reporting:
3) Documents, Policies and Endorsements—Review, Understand, Organize, and
5) Risk Control and Loss Prevention:
6) Premium, Premium Allocation, and Amounts Payable:
Risk Register: Explain following five elements of a risk register table and explain how they
2) Risk Impact:
4) Risk Control:
5) Risk Description: