1. Page 1 Recording of this session via any media type is strictly prohibited. Women of Distinction Risk Managers of the Year Share Their Wisdom

2. Page 2 Introductory remarks Introductory presentations AAA NCNU Prince William County, Virginia Alvarez & Marsal The Coca-Cola Company Moderated discussion/Q&A Summary and closing remarks Agenda

3. Page 3 Moderator: Chris Mandel (2004 Risk Manager of the Year) Sedgwick - SVP, Strategic Solutions Speakers: Grace Crickette (2012 RMOTY Honor Roll) AAA Northern California, Nevada & Utah – SVP and CRO Lori Gray (2013 Risk Manager of the Year) Prince William County - Risk Management Division Chief Sheila Small (2003 Risk Manager of the Year) Alvarez and Marsal - Managing Director, Insurance Advisory Services Laurie Solomon (2011 RMOTY Honor Roll) The Coca-Cola Company - Director, Risk Management The panel

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5. Page 5 CHRIS MANDEL SVP, Strategic Solutions Sedgwick

6. Page 6 GRACE CRICKETTE SVP, Chief Risk and Compliance Officer AAA - Northern California, Nevada & Utah

7. Page 7 Background

8. Page 8 Building credibility - influencers Miami U. CBE and RIMS 2013 Experimental Study Results YourCompetence Recipient’sCriticalanalysis

9. Page 9 Deepen your knowledge Your competence Actuarial Actuarial Multi-discipline Multi-discipline Operations Operations Business intelligence Business intelligence Systems technology Systems technology Presentation skills Presentation skills Backbone Backbone

10. Page 10 How and what to report to the board Reports must be consistent Educate & engage recipient Timely data-valuation Timely data-valuation Meaningful data Meaningful data Avoid raw data Avoid raw data Tell the Story Tell the Story Data dictionary Data dictionary Know / explain the objective Know / explain the objective Multiple communication channels Multiple communication channels

11. Page 11 LORI GRAY Risk Management Division Chief Prince William County

12. Page 12 Lori Gray, Prince William County, VA

13. Page 13 Background

14. Page 14 A success built from scratch Risk assessment Risk assessment o Met with all department directors o Met with other managers of “high risk” operations Began rebuilding the risk management program in 1999

15. Page 15 Accomplishments Restructured insurance programs & added additional critical coverage Implemented county-wide safety initiatives Implemented data tracking to determine the “drivers” of claims (summarized in an annual risk report) Engaged departments in risk management Improved the Public Safety Employee Health Clinic Hands-on management of the claims program Developed an environmental program Implemented wellness Initiative for all employees to reduce healthcare costs Risk management is now part of the county’s culture

16. Page 16 Key county-wide initiatives Risk management annual report Risk management services Risk management services Overview of county statistics by coverage Overview of county statistics by coverage Department statistics by coverage Department statistics by coverage

17. Page 17 Risk Manager’s Award Safe Driving Award Safety Award for Excellence (SAFE) - Individual Key county-wide initiatives Greatest average reduction in the department’s severity, frequency, and incident rates of occupational injuries/illnesses Annual safety awards Greatest average reduction in the department’s preventable collision frequency rate Recognizes employees who have excelled in environmental, health and wellness, safety and risk management

18. Page 18 Key county-wide initiatives Candidate Physical Ability Testing (CPAT) Panel physician's breakfast New employee orientation Driver program Environmental management system

19. Page 19 Business Insurance Magazine “Risk Manager of the Year” - Lori Gray American Society of Safety Engineers (ASSE) “Safety Professional of the Year (SPY)” for Region VI - David Wenzel Public Risk Management Association (PRIMA) first place recipient for “Back into Zero” safety campaign Department of Environmental Quality's Sustainability Partner’s award 2003 to 2013 – Seventeen additional awards from PRIMA, National Association of Counties (NACO), and six environmental excellence awards Award winning program

20. Page 20 Savings to the taxpayers $15 million in dividends since 2001 Injury incident rate per 100 employees, which was 9.0 or more, has been between 5.0 and 6.0 since 2004 Lost workday incident rate remains under 2.0 since 2003 Liability program losses remain under $30,000 annually

21. Page 21 Sell, sell, and sell… Relationships are essential Data is key Never quit trying Put your money where your mouth is Strive for excellence Recommendations Remember…everyone wants to be on a winning team

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23. Page 23 SHEILA SMALL Managing Director, Insurance Advisory Services Alvarez and Marsal

24. Page 24 Professional background  21 years heading risk management at Verizon Corporation  Retired after 39+ years at Verizon or its predecessor companies. Responsibilities spanned engineering, long range planning, and financial planning and analysis  Last year was a key member of the pension transfer team that moved over $8.0B of pension liabilities to Prudential Insurance  Managing Director at Alvarez and Marsal Insurance and Risk Advisory Services Current Previous

25. Page 25 “25 Women to Watch” Risk Innovator Award Outstanding Captive of the Year Award (CICA) Ranked #10 in the Power 50 and #3 for captive owners in Captive Review magazine Top 100 Women in the Insurance Industry 2003 Risk Manager of the Year Recognized within the risk management community

26. Page 26 Launched the cell phone warranty insurance program Launched the first of its kind affinity program Settled the 9/11 claim in under two years – largest non-litigated settlement at the time Grew the Verizon captive to become the cornerstone of the risk management strategy 75% of insurance spend underwritten by captive Significant profit center Over 25 programs written annually Received DOL approval for group life insurance Built bridges with HR, Legal and other business units Closed down an acquired captive (GTE RE) under a Rhode Island Commutation Law Career key accomplishments

27. Page 27 Personal attributes of success Maintain balance in your life Work hard and smart Prioritize work assignments Be respectful of others Live your life one minute at a time Delegate Continue to improve and educate Be a team player

28. Page 28 Balancing home and the office

29. Page 29 Recording of this session via any media type is strictly prohibited. Be Prepared for the Unexpected

30. Page 30 Verizon Communications Inc. Vs. Inverizon International Inc. What’s in a name?

31. Page 31 1.In June, 2000, Bell Atlantic merged with GTE 2.Decision was made to launch new name, new brand 3.Firms specialize in creating new names Accenture, Altria, Google Choosing a new name Verizon chosen as new name/brand 4.Once name is chosen, searches are made to: Ensure the word does not have negative connotation anywhere in the world Name does not infringe on existing brand 5.Two companies surfaced in search VeriSign Inverizon Notified VeriSign Ignored Inverizon

32. Page 32 July 25, 2000: Inverizon sends cease and desist letter claiming “overlap” between the two companies: Then what happened? Consulting services Database design Website design Computer hardware and software advice

33. Page 33 Founded by Dr. McLaren, who left Monsanto and formed his own agricultural consulting business Dr. McLaren and his wife are sole officers Claims his business is in “communications” work because physiology addresses how “cells communicate with each other” Claims there is confusion because customers of Verizon are potential customers of Inverizon Who is Inverizon?

34. Page 34 No likelihood of confusion No one confuses “Dr. McLaren” with the phone company Agricultural consulting services versus telecommunications consulting services Logos differ in design and color Inverizon could not prove loss in business or revenues Verizon’s defense

35. Page 35 Case’s “bad” facts Inverizon’s counsel was setting unrealistic expectations First demand: $19.5M Verizon’s brand valued at $15B was at risk at a jury trial Case held in state court in St. Louis, Missouri, rather than federal court

36. Page 36 Case outcome Decision made to settle with plaintiff Payment was in the millions Verizon saw this as a good result due to the risk of its brand name Be prepared. Don’t take anything for granted.

37. Page 37 Lessons learned Assess and evaluate risks Design a plan Don’t leave anything to chance Protect your interests Be prepared for the unexpected

38. Page 38 Recording of this session via any media type is strictly prohibited. Summary: 38 Planning is KEY If you fail to plan, the consequences can be expensive and painful

39. Page 39 LAURIE SOLOMON Director Risk Management The Coca-Cola Company

40. Page 40 My Background Liberal arts undergraduate Learn Think Analyze Communicate 10 years national accts underwriting Technical Team leader Internal sales Customer-facing

41. Page 41 19 years at The Coca-Cola Company 19 years at The Coca-Cola Company RM department has 20 people: RM department has 20 people: Insurance placement Insurance placement Finance Finance Claims Claims Data/systems Data/systems Partners: Legal, finance, safety, quality, ERM, marketing, HR, technical, manufacturing ops, etc. Partners: Legal, finance, safety, quality, ERM, marketing, HR, technical, manufacturing ops, etc. Focus: Embedding risk management process, efficiency and loss reduction throughout the company Focus: Embedding risk management process, efficiency and loss reduction throughout the company Today

42. Page 42 Starting out Ask for help! Collect nuggets Target stores example Target stores example You can’t make a wrong choice – try anything Recognizeexperiencegaps

43. Page 43 Ask questions! Ask questions! Information is knowledge Information is knowledge Time brings experience Time brings experience Comfort in material allows confidence Comfort in material allows confidence Knowledge + experience + confidence = CREDIBILITY Knowledge + experience + confidence = CREDIBILITY Olympics example Olympics example Building expertise & credibility

44. Page 44 Into the mountain: Lime mine in Mexico, MO Into the mountain: Lime mine in Mexico, MO You can do more than you think! You can do more than you think! India arrival India arrival $12 billion CCE North American acquisition $12 billion CCE North American acquisition Maintain humor & creativity Maintain humor & creativity Swaziland Swaziland The Amazon & Africa The Amazon & Africa Stretch experiences - personal successes

45. Page 45 Partnership Take charge or delegate? Yes to both Management lesson CONTROLEMPOWER

46. Page 46 Style matters Recognize others – share the credit High expectations, but fair Committed and loyal to partners and staff Communication in all directions

47. Page 47 Coca-Cola values Accountability : If it is to be, it's up to me Passion : Committed in heart and mind Diversity : As inclusive as our brands Leadership : The courage to shape a better future Collaboration : Leverage collective genius Integrity : Be real Quality : What we do, we do well

48. Page 48 Recording of this session via any media type is strictly prohibited. Final tips: 48 Find confidantes you respect and trust Coaches may be in strange places Positivity - “Things generally work out” Integrity - Make the hard choices and model what you’d like to see in others

49. Page 49 Questions & Answers An interactive audience participation Session: What’s on your minds?

50. Page 50 Contacts: Chris Mandel chris.mandel@sedgwick.com Grace Crickette grace.crickette@goaaa.com Lori Gray lori.gray@pwcgov.org Sheila Small shelia.small@gmail.com Laurie Solomon lsolomon@coca-cola.com

51. Page 51 Moderator: Chris Mandel chris.mandel@sedgwick.com Speakers: Grace Crickette grace.crickette@goaaa.com Lori Gray lori.gray@pwcgov.org Sheila Small shelia.small@gmail.com Laurie Solomon lsolomon@coca-cola.com Contact information

52. Page 52 Recording of this session via any media type is strictly prohibited. Please complete the session survey on the RIMS14 mobile application