Private Client Risk & Resilience

Brooke Mellen 
Executive Claims Specialist
[email protected]

According to some sources, social engineering is used in 98% of cyber attacks, while others say it's involved in 70–90% of successful attacks. Social engineering is a critical part of an attack that uses manipulation or tricks to coerce victims into sharing sensitive information. Attackers may pretend to be a known person or legitimate entity, or use other tactics like impersonating a brand, using current events, or offering something the victim wants or needs. Social engineering can occur through email, phone, face-to-face, or the web.

In this episode of the Private Client Risk & Resilience podcast Kurt Thoennessen begins with introductions of the guests, Bill Roth and Anwar Visram, who share their extensive backgrounds in entrepreneurship and cybersecurity, respectively. Anwar emphasizes his experience in building cyber defense plans for high net worth families, while Bill highlights his expertise in visual thinking and experience design.

Kurt and his guests delve into the complexities of cybersecurity for affluent families, discussing the growing threat landscape and the importance of proactive risk management. They highlight the need for high net worth families to adopt comprehensive cybersecurity strategies, which include regular education, simulation exercises, and clear rules of engagement. The conversation also touches on the unique challenges faced by high net worth individuals, such as the increasing attack surface due to multiple generations and the involvement of numerous advisors and staff.

Highlights:

1. Proactive Cyber Defense:
   • Emphasis on creating cyber defense plans tailored to high net worth families.
   • Importance of regular education and simulation exercises to prepare families for potential cyber threats.
2. Human-Centered Approach:
   • Cybersecurity as a human-centered problem, integrating technology and focusing on the human element.
   • Social engineering and human error account for 98% of cybersecurity issues.
3. Innovative Solutions:
   • Hard Target's approach to cybersecurity through gamification and tabletop exercises.
   • Development of mental models for cybersecurity similar to playing a board game, enhancing understanding and retention.
4. Real-World Scenarios:
   • Anwar shares examples of cyber threats, including virtual kidnapping and social media exploitation.
   • Importance of creating a family cyber committee to enforce governance and rules of engagement.
5. Emotional Resilience:
   • Focus on building emotional and relational resilience within families to handle cyber threats.
   • Preparing families for the emotional impact of cyber incidents.
6. Cyber Literacy for All:
   • Vision of expanding cybersecurity awareness and education beyond high net worth families to the broader public.
   • Importance of cyber preparedness in reducing vulnerabilities and making everyone a hard target.

Conclusion: Bill Roth and Anwar Visram provide valuable insights into the evolving landscape of cybersecurity for high net worth families. Their innovative approach, combining human-centered strategies with advanced training methods, offers a comprehensive solution to protect against the growing threat of cyber attacks.

Thank You and Resources: A heartfelt thank you to Bill Roth and Anwar Visram for sharing their expertise and experiences. For more information about Hard Target, visit hardtarget.ai. Connect with Bill and Anwar on LinkedIn to stay updated on their latest content and initiatives.

Thank you for listening to this episode of the Private Client Risk & Resilience podcast. Stay tuned for future episodes as we continue to explore innovative solutions for protecting high net worth individuals and their families.

In this episode of the Private Client Risk & Resilience podcast, host Kurt Thoennessen, a high net worth insurance specialist and CEO of RiskRevu, is joined by Ron Fiamma, President of Treadwell Fine Art, an insurance carrier specializing in high value fine art and collectibles insurance. The discussion dives deep into the world of high net worth insurance, exploring the risks, challenges, and opportunities associated with protecting valuable collections.

Summary: The episode begins with Ron Fiamma sharing his unconventional journey into the insurance industry, starting from his early career on Wall Street to his eventual transition into fine art and high value collectibles insurance. He highlights his experiences at AIG Private Client Group and the entrepreneurial spirit that led him to co-found Treadwell. Throughout the conversation, Ron emphasizes the importance of understanding and managing the unique risks associated with high value collections, from fine art to couture and collector automobiles.

The discussion covers a range of topics, including the critical role of proactive risk management, the challenges of aggregation in high-risk areas, and the development of specialized insurance products to meet the needs of affluent clients. Ron also shares insights into the vetting process for vendors and the importance of maintaining up-to-date inventory systems for valuable collections.

Highlights:

1. Ron Fiamma's Career Journey:
   • Started on Wall Street and transitioned to insurance.
   • Played a key role in AIG's Private Client Group and later founded Treadwell.
   • Emphasized the entrepreneurial spirit driving his career decisions.
2. Proactive Risk Management:
   • Importance of detailed information for underwriting high value collections.
   • Training brokers to gather comprehensive data about clients' collections.
   • Emphasizing the need for up-to-date inventory systems for clients.
3. Aggregation Challenges:
   • Impact of high-value aggregations in areas like South Florida and California.
   • Issues arising from clients' growing collections and increasing asset values.
   • Strategies to manage and mitigate aggregation risks in high-net-worth insurance.
4. Development of Specialized Products:
   • Launch of couture insurance for high-value fashion collections.
   • On-track motorsports insurance for clients with valuable car collections.
   • Importance of creativity and flexibility in developing new insurance products.
5. Vendor Vetting and Client Support:
   • Rigorous vetting process for vendors to ensure high standards.
   • Providing clients with trusted referrals for various services.
   • Importance of helping clients protect their valuable assets through expert advice.

Conclusion: Ron Fiamma's extensive experience and insights into the high-net-worth insurance space provided a wealth of knowledge for listeners. His emphasis on proactive risk management, innovative product development, and the importance of client relationships highlighted the complexities and opportunities within this niche market.

Thank You and Resources: A heartfelt thank you to Ron Fiamma for sharing his expertise and experiences. For more information about Treadwell Fine Art, visit Treadwell.co. Additional resources and vendor recommendations can be obtained by reaching out to Ron directly at [email protected].

Thank you for listening, and stay tuned for future episodes exploring new and innovative approaches to risk management for high-net-worth clients.

Kurt Thoennessen, CAPI and David Shapiro of David Shapiro Fine Art discussed the intricacies of art valuations and investments, emphasizing the importance of accurate appraisals and navigating the complex art market. Thoennessen highlighted the role of technology in streamlining the appraisal process, while Shapiro shared his expertise as an art appraiser and advisor. Later, Thoennessen and Shapiro discussed building art collections, understanding the market, and navigating the complex art market. They emphasized the importance of following USPAP standards, charging differently for services, and evaluating the best market for selling art. Thoennessen and Shapiro also discussed the role of art advisors in guiding clients through the market and providing comprehensive understanding of the market.

Website - Davidshapirofineart.com

In this episode, Kurt Thoennessen, CAPI, Founder and CEO of RiskRevu, discusses with Richard Kerr, CEO of Novatae, various challenges and solutions within the high net worth insurance space. Topics range from overcoming the hard market, networking strategies, the significance of quality submissions to underwriters, and the importance of specialization in the insurance industry. Kerr also delves into the foundation and goals of the Council for Insuring Private Clients (CIPC) and shares insights on the upcoming conference.

Highlights:

• Challenges in High Net Worth Insurance Space: Discusses specific regional insurance challenges like finding hurricane coverage in Florida and fire coverage in California.
• Networking and Support: Emphasizes the importance of reaching out and networking within the industry, particularly through organizations like CIPC.
• Novatae's Strategy: Kerr details Novatae's approach in the insurance market, focusing on acquisitions and service improvement.
• Importance of Quality Submissions: Kerr stresses the need for agents to provide underwriters with clear and complete submissions to secure capacity.
• Council for Insuring Private Clients (CIPC): Discussion on the foundation and objectives of CIPC, highlighting its role in education, advocacy, and networking for insurance professionals.
• Upcoming Conference Details: The conference takes place May 1 and 2 in Dallas, TX at the Warwick hotel. Key themes include artificial intelligence in the high net worth space, capacity finding strategies, and building effective teams in the high net worth sector.
• Professional Development: Highlights the Certified Personal Risk Manager (CPRM) designation and its benefits for professionals in the industry.

For more information or to register for the CIPC conference, visit the Council for Insuring Private Clients website: https://privateclientcouncil.com/.
For more details about Novatae, visit their website: https://novatae.com/.
For more details about the CPRM designation visit: https://www.scic.com/programs/cprm/