Simplifying Risk Management of Red Roof Inns
About RiskPartner
RiskPartner is an organization committed to providing leading-edge, web-based software products and services that offer insurance and risk professionals the analytical data necessary for making informed decisions ‒ decisions necessary for these individuals to run their insurance programs more efficiently, properly manage the transfer risk with incoming Certificates of Insurance and achieve the ultimate goal of improving their organization’s financial performance.
RiskPartner was conceptualized by TMA Systems (tmasystems.com), one of the world’s leading facility management software innovators. RiskPartner and TMA Systems have more than 30- years of experience developing innovative web-based software and service solutions that not only create efficiencies and cost savings but are specifically designed to meet an organization’s unique business needs and goals.
THE CHALLENGE
Develop a software and service solution to assist the client in communicating new insurance requirements to their network of Franchisees and markedly increase the transfer of risk by having compliant certificates of insurance from the Franchisees.
THE OUTCOME
The Red Roof - Risk Partner Project was, and still is being, successfully executed for every facet of the project. The RiskPartner Certificates of Insurance software and services have been expanded to additional business units for Red Roof. By employing the Compliance Calling option in conjunction with the RiskPartner Certificates of Insurance software and service Red Roof has significantly increased the transfer or risk in a very cost-effective manner while maintaining an excellent relationship with their Franchisee.
Client: Red Roof Inns Corporate Franchisor
Type of Service: Consulting and Training, Software Implementation, Software Tracking and Notifications to COI providers/brokers, Insurance Service Team review of COIs, Outbound Calling by RiskPartner Insurance-Trained Team.
Project Duration: 3 months
System Modules Utilized: RiskPartner Full-Service Certificates of Insurance Software as a Service, Automatic Notifications to Providers and Client of non-compliance and upcoming COI expiration. Insurance Service Center team services to review submitted COIs & endorsements. Outbound Compliance Calling service utilizing RiskPartner US-based team.
SIMPLIFYING RISK MANAGEMENT AND TRANSFER OF RISK
Red Roof Inns came to RiskPartner with a need to find a better way of tracking and increasing compliance with their Franchisees regarding the insurance requirements stated in the Franchise Agreement.
Red Roof Inns has 415 Inns that, at the inception of working with RiskPartner, were 100% Non-Compliant as Red Roof decided to add two new types of insurance requirements at the same time as beginning to have RiskPartner start tracking COI compliance.
Red Roof utilized the Full-Service option for RiskPartner to communicate via email to all the Inns their compliance status as well as provide a sample COI. The RiskPartner solution uses email notifications to the Inn contacts to alert them of upcoming policy expirations as well as non-compliance with the reasons why they are non-compliant.
Knowing that the addition of new requirements would generate questions, Red Roof decided to utilize RiskPartner’s Compliance Calling option. The RiskPartner Compliance Calling team was tasked with making outbound calls to Red Roof’s non compliant franchisees and often the franchisee’s insurance broker. The Compliance Calling option takes the COI compliance program to the next level by having RiskPartner’s insurance-trained professionals speak to the provider, the Inn owner in this case, or the provider’s insurance agent to assist the franchisee/broker in understanding what they need to do to meet Red Roof’s new requirements and to provide a compliant COI. The Compliance Calling team is US-based at RiskPartner’s Tulsa, OK headquarters. The team is headed up by a former All Lines Adjuster with GEICO, so she is exceptionally well versed in insurance.
Red Roof as seen outstanding results with the RiskPartner Full-Service Certificates of Insurance solution and services with the addition of the Compliance Calling in two areas.
1. Significantly increased submissions of COIs from those Franchisees that had not submitted a COI previously. By doing this, even if they are non-compliant in some areas, Red Roof at least knows their Franchisee has some insurance and partial transfer of risk is in place.
2. The second benefit is the actual Red Roof Compliance rate increased dramatically. Red Roof knows they have compliant certificates with more of their Franchisees and that all the contractual transfer of risk is in place for the compliant certificates.
THE ON-GOING EFFECTIVENESS OF THE PROJECT IS LINKED TO RISKPARTNER’S EXPERTISE...
Prior to utilizing RiskPartner’s Certificate of Insurance solution and the Compliance Calling option Red Roof had more than half of their franchisees that had not even submitted a certificate. The franchisees that had submitted a certificate had a very low compliance rate after RiskPartner sent out the initial Welcome email to the franchisees.
The RiskPartner Compliance Calling team was able to decrease the number of missing certificates significantly and increase compliance in short order.
After 90 days, Red Roof had a 92% decrease in the number of franchisees that did not even have a certificate on file and a 420% increase in compliant franchisees.
That is a massive transfer of risk! It should also be noted that Red Roof Inns has recently expanded the use of the RiskPartner solution by adding their Security department and the Design & Construction department in addition to the original Franchisee department.
Another benefit of using the Compliance Calling is that we have noticed once we get a provider compliant it is much easier to keep them compliant via the normal RiskPartner process.
Therefore, the Compliance Calling can be added to get the initial bulk of providers compliant with a one-time expense, or continued, to maintain a high compliance rate. The total fee for the Compliance Calling is based on the number of providers the client selects. The Calling option can be used to focus on certain types of providers (franchisee, contractors, vendors, tenants, etc), specific locations, or whatever is most important area to the client to increase the transfer of risk.
The ROI with the Compliance Calling option is enormous as it frees up client personnel that would typically not be certificate experts and task them with tracking down COIs from their providers and having to deal with their providers’ brokers. For example, if you had 500 non-compliant providers, we would estimate that it could take 35% of one employee’s time to call, explain requirement, return calls, etc. Based on a $40,000/year employee, the ROI would be well over 100% to have RiskPartner do this for you.
Plus, the main benefit of increasing your transfer of risk is immeasurable as one incident with a non-compliant provider could cost your firm million
About RiskPartner
RiskPartner is an organization committed to providing leading-edge, web-based software products and services that offer insurance and risk professionals the analytical data necessary for making informed decisions ‒ decisions necessary for these individuals to run their insurance programs more efficiently, properly manage the transfer risk with incoming Certificates of Insurance and achieve the ultimate goal of improving their organization’s financial performance.
RiskPartner was conceptualized by TMA Systems (tmasystems.com), one of the world’s leading facility management software innovators. RiskPartner and TMA Systems have more than 30- years of experience developing innovative web-based software and service solutions that not only create efficiencies and cost savings but are specifically designed to meet an organization’s unique business needs and goals.
THE CHALLENGE
Develop a software and service solution to assist the client in communicating new insurance requirements to their network of Franchisees and markedly increase the transfer of risk by having compliant certificates of insurance from the Franchisees.
THE OUTCOME
The Red Roof - Risk Partner Project was, and still is being, successfully executed for every facet of the project. The RiskPartner Certificates of Insurance software and services have been expanded to additional business units for Red Roof. By employing the Compliance Calling option in conjunction with the RiskPartner Certificates of Insurance software and service Red Roof has significantly increased the transfer or risk in a very cost-effective manner while maintaining an excellent relationship with their Franchisee.
Client: Red Roof Inns Corporate Franchisor
Type of Service: Consulting and Training, Software Implementation, Software Tracking and Notifications to COI providers/brokers, Insurance Service Team review of COIs, Outbound Calling by RiskPartner Insurance-Trained Team.
Project Duration: 3 months
System Modules Utilized: RiskPartner Full-Service Certificates of Insurance Software as a Service, Automatic Notifications to Providers and Client of non-compliance and upcoming COI expiration. Insurance Service Center team services to review submitted COIs & endorsements. Outbound Compliance Calling service utilizing RiskPartner US-based team.
SIMPLIFYING RISK MANAGEMENT AND TRANSFER OF RISK
Red Roof Inns came to RiskPartner with a need to find a better way of tracking and increasing compliance with their Franchisees regarding the insurance requirements stated in the Franchise Agreement.
Red Roof Inns has 415 Inns that, at the inception of working with RiskPartner, were 100% Non-Compliant as Red Roof decided to add two new types of insurance requirements at the same time as beginning to have RiskPartner start tracking COI compliance.
Red Roof utilized the Full-Service option for RiskPartner to communicate via email to all the Inns their compliance status as well as provide a sample COI. The RiskPartner solution uses email notifications to the Inn contacts to alert them of upcoming policy expirations as well as non-compliance with the reasons why they are non-compliant.
Knowing that the addition of new requirements would generate questions, Red Roof decided to utilize RiskPartner’s Compliance Calling option. The RiskPartner Compliance Calling team was tasked with making outbound calls to Red Roof’s non compliant franchisees and often the franchisee’s insurance broker. The Compliance Calling option takes the COI compliance program to the next level by having RiskPartner’s insurance-trained professionals speak to the provider, the Inn owner in this case, or the provider’s insurance agent to assist the franchisee/broker in understanding what they need to do to meet Red Roof’s new requirements and to provide a compliant COI. The Compliance Calling team is US-based at RiskPartner’s Tulsa, OK headquarters. The team is headed up by a former All Lines Adjuster with GEICO, so she is exceptionally well versed in insurance.
Red Roof as seen outstanding results with the RiskPartner Full-Service Certificates of Insurance solution and services with the addition of the Compliance Calling in two areas.
1. Significantly increased submissions of COIs from those Franchisees that had not submitted a COI previously. By doing this, even if they are non-compliant in some areas, Red Roof at least knows their Franchisee has some insurance and partial transfer of risk is in place.
2. The second benefit is the actual Red Roof Compliance rate increased dramatically. Red Roof knows they have compliant certificates with more of their Franchisees and that all the contractual transfer of risk is in place for the compliant certificates.
THE ON-GOING EFFECTIVENESS OF THE PROJECT IS LINKED TO RISKPARTNER’S EXPERTISE...
Prior to utilizing RiskPartner’s Certificate of Insurance solution and the Compliance Calling option Red Roof had more than half of their franchisees that had not even submitted a certificate. The franchisees that had submitted a certificate had a very low compliance rate after RiskPartner sent out the initial Welcome email to the franchisees.
The RiskPartner Compliance Calling team was able to decrease the number of missing certificates significantly and increase compliance in short order.
After 90 days, Red Roof had a 92% decrease in the number of franchisees that did not even have a certificate on file and a 420% increase in compliant franchisees.
That is a massive transfer of risk! It should also be noted that Red Roof Inns has recently expanded the use of the RiskPartner solution by adding their Security department and the Design & Construction department in addition to the original Franchisee department.
Another benefit of using the Compliance Calling is that we have noticed once we get a provider compliant it is much easier to keep them compliant via the normal RiskPartner process.
Therefore, the Compliance Calling can be added to get the initial bulk of providers compliant with a one-time expense, or continued, to maintain a high compliance rate. The total fee for the Compliance Calling is based on the number of providers the client selects. The Calling option can be used to focus on certain types of providers (franchisee, contractors, vendors, tenants, etc), specific locations, or whatever is most important area to the client to increase the transfer of risk.
The ROI with the Compliance Calling option is enormous as it frees up client personnel that would typically not be certificate experts and task them with tracking down COIs from their providers and having to deal with their providers’ brokers. For example, if you had 500 non-compliant providers, we would estimate that it could take 35% of one employee’s time to call, explain requirement, return calls, etc. Based on a $40,000/year employee, the ROI would be well over 100% to have RiskPartner do this for you.
Plus, the main benefit of increasing your transfer of risk is immeasurable as one incident with a non-compliant provider could cost your firm million
