] A link to Certification Week is in this episode's show notes. You can also find it at RIMS.org/Webinars. [1:14] Webinars: There are lots more RIMS Webinars coming up. On October 1st, Brown and Brown make their RIMS Webinars debut by discussing "The Future of Captives: What Risk Managers Should Think about Now." [1:27] Global Risk Consultants will return on October 8th to present "The 2027 Risk Agenda: 10 Engineering Priorities Risk Leaders Should Act on Now". [1:37] On Oct. 15, Verisk Maplecroft will lead the session "Beyond the Horizon: Turning External Risk Into Decision-Ready Insight". [1:46] On Oct. 22, Zurich returns to tell us all about "Cybercrime, Fraud and AI: Real-World Threats and Practical Defenses for Business Leaders". [1:57] Origami Risk returns on October 29th to present "Managing Insurance Programs at Scale: What Complex Portfolios Require". [2:06] On Nov. 5th, Riskonnect returns to deliver the session "Signal Over Noise: Smarter Risk Analytics". Visit RIMS.org/Webinars to register. [2:17] RIMS is back on YouTube. Our handle is @RIMSOfficialChannel. We've got plenty of videos there, including RIMScast, RIMScast Canada video podcasts, and other informative and entertaining content from RIMS. Subscribe to the channel today! [2:36] On with the Show! Our guest today is Roy Hock, the Director of Risk Finance & Casualty Insurance at Valero, one of the world's largest oil refineries. We will discuss what it takes to future-proof Valero's risk program, and we will discuss Energy Awareness Month in October. [3:08] You may know Roy from his presence in the RIMS Houston Chapter. He is a former president of that chapter, and you probably saw him at the RIMS Texas Regional in 2026. [3:23] Announcement: The speaker's views are his own, and not necessarily the views of Valero. [3:29] I'm looking forward to hearing how he manages risk for Valero, so let's get to it! [3:34] Interview! Roy Hock, welcome to RIMScast! [3:48] Roy started working for an insurance company right out of school. Most of his career has been in Houston. For the last six years, he has been in San Antonio at Valero. [4:03] Roy shares his early career path: underwriting, reinsurance, broker. Then he got his ARM. One of his friends was looking for a risk manager for a startup in Houston. Roy took the opportunity. He loved it until it was sold. [4:55] Roy moved on to another job. After a couple of years, Valero approached him, looking for a risk manager with experience in the oil and gas industry, for a job in San Antonio. Roy said yes. It's a wonderful city. He was very excited to be given the opportunity. [5:21] Roy says, six years later, he's Director of Risk Finance & Casualty Insurance, and loving every minute of it. [5:52] Roy says his work days are varied. Every day is an exciting new challenge. Roy oversees captive, casualty insurance, directors and officers insurance, and all other types of insurance. He works in a large team and is often the backup when people are out. He's keeping up his skills. [6:27] Roy also oversees the Risk Information Management System. Part of his team focuses on that, and he helps support them. [6:38] Roy says it's a big organization of 10,000 people, and there's always something happening. You never know what you're going to get from day to day. [6:48] Justin says he and Roy met right after RISKWORLD for a session with Origami Risk, "Future-Proofing Your Risk Program". Justin wanted to extend the dialog with Roy with Energy Awareness Month coming up in October. [7:06] Justin asks how important Energy Awareness Month is at Valero. Roy says every minute of every day is about energy awareness. [7:24] Valero is a refiner. They buy crude and refine it into jet fuel, diesel, and unleaded gas. They also produce ethanol and renewable diesel. They have their hands in a lot of things, all geared to moving people around the world. [7:52] Valero is always looking at how to create efficiencies and keep costs down. Energy is a big piece of that. They are in Texas, where wind and solar are big. Valero is a big energy consumer. [8:10] They try to keep the energy costs down and build efficiencies within the operation, not only to keep costs down but also to be more self-sustaining so they're taking less off the grid. [8:47] Roy says a risk manager not only has to understand the insurance side and the claims side, and how they interrelate, but you have to understand them in the context of your business. [8:58] You need to know how you make money, where the risks are, the trends you see, and help the organization identify those trends and find ways to address them when possible, via a captive or an outside carrier or internally with programs to mitigate risks and keep losses down. [9:23] Roy says if you don't understand the business, you can't do that very effectively. You need to understand the business. You don't need to know all the details of how a business works, but you need to know a very strong baseline and know who does know the answers. [9:38] Roy says creating that internal network is just as important as having the external network you get in the insurance world. You need to sit in between those two. [9:50] Roy has been at Valero for six years and two months. He came from an oil and gas background, on the insurance side of the business. He knew how the flow worked and what all the pieces did. Even after six years at Valero, Roy is still learning something every day. [10:22] Roy says it took a good year or two to feel comfortable "speaking" the business. He got there by listening to executives talk to carriers, by listening to earnings calls, and by listening to businesses asking Valero for things. Roy loves being a learner. [10:51] That's how Roy has gotten a baseline comfort with the business, and he knows who to ask when there are specific questions. [11:05] Roy has four people on his team, acting as internal support on top of other things they do for the company. The broad risk management group is around 20 people, including an internal TPA and risk engineers with niche knowledge in fire, water, and protection. [12:04] Roy says most companies don't do that. It's just how Valero developed over the years. [12:21] Justin asks what future-proofing a risk program means to Roy. Roy says it's staying on the pulse of what's going on in the business and in the insurance commercial markets, and maintaining a strong network across the board. Use that information. Does this apply to Valero? [12:58] Roy says you have to look at the workforce. Some people may retire. What does that mean? What will we look like in five years? Roy says we do a five-year team outlook for the knowledge transfer. What's on the horizon?  [13:27] Twenty years ago, cyber was a thing, but it wasn't a real thing. Now, it's a bigger thing. It's something we have to look at. It's been insane. Roy asks, What's this AI going to do to us? [13:47] Roy says a lot of that is coming from internal questions and resources. People from different departments bring questions. Roy says it's going to RIMS conferences and learning what's going on in the world, in the RIMS space, and in the technology space. [14:07] Roy says bringing all that together is what helps future-proof us. [14:39] Roy says he thinks all risk managers inherently do that. We're always trying to stay ahead of the ball. They want to stay at the forefront of what's going on in the world, so they can address it before it becomes a problem. That's the key. You're trying to address it. [14:59] If it is a business decision, bring to bear your business knowledge in discussions: If we do this, this is what could happen, and this is how we can mitigate it. Do you want to take the cost of that mitigation? Roy says that having those discussions helps a lot, as well. [15:21] A Quick Break! Many fantastic RIMS events are coming up in 2026. The RIMS Western Regional Conference will be held from October 4th through the 7th in Seattle, Washington. The agenda is live, and registration is open. [15:38] Visit RIMSWesternRegional.com and the link in this episode's show notes for more information. [15:44] Save the dates: October 18th through the 21st. In Quebec City, we will be hosting the 50th Annual RIMS Canada Conference. Booth sales are open, and sponsorship opportunities are still available. Visit RIMSCanadaConference.ca for more information. [16:01] Also, remember to check out RIMS.org/Canada for our spinoff show, RIMScast Canada, with a new episode every month. [16:10] The RIMS ERM Conference 2026 will be held on November 19th and 20th in Columbus, Ohio. Registration is open. Visit RIMS.org/ERM2026. [16:23] We're already looking to RISKWORLD 2027, which will be held over four days in New Orleans, Louisiana, from April 18th through the 21st! Member-only Registration will open on November 4th, and General Registration will open on December 2nd. [16:41] Get first access to the hotel block. Hotel reservations open on October 28th, ahead of public registration. Sitting this out is the real risk! The link to registration is in this episode's show notes. [16:54] Let's Return to Our Interview with Roy Hock of Valero! [17:01] Justin asks if electric vehicles (EVs) are a risk for Valero. Roy answers that Valero is a supply-and-demand organization. Futurists have predicted we would hit peak oil and we would not need oil. That has not come to pass. [17:40] Valero's philosophy is to do what is right, what makes profit for shareholders, and what's good for the world as they see it. So far, that's been doing very well for them. Valero is proud of what they've accomplished. [18:03] Roy says Valero has done things internally that people don't see to bring down its carbon footprint. Some regulatory switches have caused Valero to put those numbers forward. Roy says Valero is proud of those numbers and that their metrics are industry-leading. [19:06] Roy says Valero has a good story to tell and now they are telling it. It has been interesting. Some things they have been doing; some things have been in their plans for 20 years, as part of trying to run a good business. They've been doing all the right things, all along. [19:43] Roy says he thinks Valero's culture of humility is helping to future-proof the business. Interns and new hires seem to love Valero. Numbers are good. Retention numbers are really good. If young employees are unhappy with a company's culture, they look for something else. [20:31] Roy says, not only do we compensate them well, but also the culture keeps them engaged and wanting to work for us. Someone retired from Roy's team after 35-plus years. Roy says that is very common there. People like to work at Valero. It's a good spot. [20:53] Justin asks how geopolitical risks affect Roy's risk work at Valero. Roy says Valero has been forced to step up and participate in new ways recently. Around the world, regulations have changed. It's hard to plan a business around regulations that are here today and gone tomorrow. [21:47] Roy says they have to be at the table to try to mitigate that risk. Roy says "100%" there is more volatility on the regulatory side than when Valero started. The regulatory environment across the world swings back and forth. Valero is just trying to run a good business. [22:26] Roy says one side of the aisle doesn't like it, and the other side of the aisle doesn't like it for a completely different reason. [22:35] Valero is having to come sit at the table more often than ever to try to make sure their voice is heard and that what they're trying to do is coming across, to try to mitigate that risk as much as possible. It's not an insurance risk but a legal-type risk that Valero has to address. [23:08] Roy says that Risk has the attention of the C-Suite. In Roy's experience, even at previous companies, insurance is one of the big "spends" of a company. It's the Risk Management Group's role to mitigate risks, process claims, and make sure they stay under control. [23:43] Roy says that through Legal, or Treasury, or directly to the CFO, there's usually a line of sight to the C-Suite and the Board. Roy says sometimes you're placing insurance for the Board. Roy helps his VP get ready for the annual update to the Board and the big renewal cycles. [24:15] Roy says, in the renewal cycle, if Risk sees something on the horizon, it's easy for them, because of the networks they've built, to go to the C-Suite and communicate those risks or options to them. It's periodic. It happens all the time. [24:43] One more Quick Break! RIMS, The Foundation for Risk ManagementTM, is dedicated to shaping the future of the profession. By making a contribution, you are strengthening the global risk management community and investing in the future of the industry. [25:02] The Foundation also supports the Spencer Educational Foundation but has a different mission. The Foundation focuses on providing opportunities for those professionals who have already decided to enter risk management and are just getting started. [25:16] You can learn more about the Foundation by visiting www.RIMS.org/FRM.  While you're there, be sure to check out information about the Susan Meltzer Scholarship Fund, which was established to honor Ms. Meltzer, who was RIMS President in 1999 and 2000. [25:35] Susan Meltzer was a cherished RIMS President and contributed so much to RIMS and the greater risk community. Learn more at RIMS.org/FRM. [25:44] Let's Return to Our Interview with Roy Hock of Valero! [25:50] Justin and Roy talk about Roy's membership in the South Texas RIMS Chapter. Roy is the former President of the RIMS Houston Chapter. He says the South Texas RIMS Chapter is fantastic. [26:18] Roy says there are a lot of businesses coming into Texas, which means a lot of risk functions are moving in. The different chapters are growing. Everybody is doing a good job keeping their members engaged. They keep growing and finding new avenues of engagement. [26:40] Roy says 32 years ago the South Texas RIMS Chapter led the way and started a shooting event in the Spring. Roy was a traditional golfer in Houston. Roy says the shooting event is awesome. They still do a golf event as well. Valero is a big sponsor of these types of events. [27:03] Roy says his boss, Jeremy Bergeron, is a former President of the local chapter. Jeremy reports to the Board annually. Everybody on the team is hands-on, periodically touching base with the different groups. [27:34] Roy says Valero has a long history with and a love of RIMS. Often, the South Texas RIMS Chapter gets invites to play golf with different vendors, and Valero has been very good about supporting that. [27:52] Instead of chapter members going, they'll bring in students from St. Mary's University to attend these events as the future of the risk management industry. It's important to have them get engaged in these types of events, so the chapter helps support them and brings them in. [28:12] Roy sits on the St. Mary's Risk Advisory Board. It's been a pleasure. He loves it, and he says these kids are great. He says we have great future people coming into the industry. [28:30] Roy describes managing a captive for Valero. He has always been interested in how insurance companies function and work. When Valero approached him, it was for risk management and running a captive insurance company. He said, Sign me up! [28:58] Roy says it's great. Day to day, they're doing everything an insurance company does. They talk to regulators, they have managers, they have investments, and all the different things that accompany an insurance company. [29:09] Roy says Valero's captive is a company within a company, and an insurance company within a non-insurance-company environment. They insure Valero. Roy has a CPA on staff who is very helpful. She came from Valero's Accounting side, so she knows their needs. [29:39] Roy says that's one of the unique things about a captive. You need to be able to integrate with your parent company to consolidate everything correctly. The CPA is the bridge that does that for the captive. She has been very helpful to Roy and has helped him learn about it. [29:55] Roy says he didn't have a strong finance background. He knew basic accounting, but running a company is a little bit different. You need to know a little bit more. The CPA has helped Roy get educated on that. Accounting rules evolve, and regulations change all the time. [30:21] Roy says he likes policies and insurance. Reading a policy may not be for everybody, but it is for Roy, so it has been great. He gets to generate policies, which is even more fun. He gets to interact with a lot of fun and exciting people at Valero and outside. [31:08] Roy says they've redomiciled their captive to Texas. It's a growing captive, so there are a lot of moving parts, like a startup. He has to wear many hats. Valero allows Roy the opportunity to engage in helping with the process of pushing legislation. He likes the opportunity. [32:00] Roy would advise young risk professionals coming out of schools today, already understanding policies and risk registers, to continue their education. Designations are important, including the RIMS-CRMP. Roy got the ARM before the RIMS-CRMP was available. [33:10] Roy says things are changing constantly. When Roy took the ARM, there was no cyber piece. There is a piece on cyber now. It's a dynamic and ever-changing industry. Always keep your education up. Roy also advises that you need to build your network. [33:38] Roy says in insurance and risk management, and in your organization, you need to build your network so you can do your job and learn about what other people are doing in your organization and outside your organization. [33:53] Going to conferences helps in ways you don't even understand. As an industry, risk stands out as being more personable. You have data, systems, and risks, but you layer a personal connection on top of all of it. [34:23] Roy says a lot of students come out of school without a network. Roy tells his team to introduce these students to as many people as you can. Make sure that they get to all the conferences that they can. In the industry, we have a responsibility to help them with that. [34:58] As new risk professionals join the workforce, Roy says they should know that the traditional industries are not going anywhere. They are still very valuable and have a lot of career "legs" in them. You can make a great career working at an energy or energy-related company. [35:14] Roy says new risk professionals should keep an open mind to it and see what they like. As many pieces as there are on the insurance side, there are as many on the energy side. There are all types of energy and all types of places to play. [35:35] Roy says to move around, learn about these different pieces, and see what speaks to you. If you don't like what you're doing, you're not going to do as good a job. If you like what you're doing, you're always going to push yourself to do the best job. [35:33] Special thanks again to Roy Hock for joining us here on RIMScast! I've got a link in this episode's show notes to the on-demand video of "Future-Proofing Your Risk Program: Keeping Pace with Scale, Complexity, and Visibility," featuring Roy Hock and presented by Origami Risk. [36:10] Visit https://www.RIMS.org/Webinars and scroll down the page to find it. [36:14] Happy Energy Awareness Month! [36:16] Plug Time! Become a RIMS member and get access to the tools, thought leadership, and network you need to succeed. Visit RIMS.org/membership or email [email protected] for more information. [36:34] Risk Knowledge is the RIMS searchable content library that provides relevant information for today's risk professionals. Materials include RIMS executive reports, survey findings, contributed articles, industry research, benchmarking data, and more. [36:50] For the best reporting on the profession of risk management, read Risk Management Magazine at RMMagazine.com. It is written and published by the best minds in risk management. [37:03] Justin Smulison is the Business Content Manager at RIMS. Please remember to subscribe to RIMScast on your favorite podcasting app. You can email us at [email protected]. [37:15] Practice good risk management, stay safe, and thank you again for your continued support!   Links: ChicagoLand Risk Forum | Sept. 24, 2026 RIMS Certification Week: Sept. 21‒24 | Complimentary For All RIMS Western Regional Conference — Oct. 4‒7, 2026 | Seattle, WA | Register Today. RIMS Canada Conference — Oct. 18‒21, 2026 | Quebec City | www.rimscanadaconference.ca | Sponsorship Opportunities Available RIMS ERM Conference 2026 | November 19‒20 in Columbus, Ohio | Registration Now Open! | www.rims.org/ERM2026 RISKWORLD 2027 Registration RIMScast Canada — Episodes Now Live — Watch the new video with Sophie Grégoire Trudeau. The Strategic and Enterprise Risk Center RIMS, the Foundation for Risk Management Spencer Educational Foundation — Scholarships and Grants | Open Calls and Timelines. RIMS Now RIMS-Certified Risk Management Professional (RIMS-CRMP) | Insights Video Series Featuring Joe Milan! 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RIMS Risk Management Magazine | Contribute | Q2 2026 Issue Now Available Sponsor RIMScast — [email protected] "Future-Proofing Your Risk Program: Keeping Pace with Scale, Complexity, and Visibility"   Upcoming RIMS-CRMP Virtual Workshops: Full RIMS-CRMP Prep Course Schedule See the full calendar of RIMS Virtual Workshops   Upcoming RIMS Webinars: RIMS.org/Webinars RIMS Certification Week: Sept. 22‒24 | Complimentary For All "The Future of Captives: What Risk Managers Should Be Thinking About Now" | Sponsored by Brown & Brown | Oct. 1, 2026 "The 2027 Risk Agenda: 10 Engineering Priorities Risk Leaders Should Act on Now" | Sponsored by Global Risk Consultants | Oct. 8, 2026 "Beyond the Horizon: Turning External Risk Into Decision-Ready Insight" | Sponsored by Verisk Maplecroft | Oct. 15, 2026 "Cybercrime, Fraud and AI: Real-World Threats and Practical Defenses for Business Leaders" | Sponsored by Zurich | Oct. 22, 2026 "Managing Insurance Programs at Scale: What Complex Risk Portfolios Require" | Sponsored by Origami Risk | Oct. 29, 2026 "Signal Over Noise: Smarter Risk Analytics" | Sponsored by Riskonnect | Nov. 5, 2026   Related RIMScast Episodes: "From Wellhead to Burner Tip: Eric Lobser's ERM Journey" "When Geopolitics Hits the Balance Sheet with Cari Stinebower"   Sponsored RIMScast Episodes: "48 Hours From a Storm: What to Do Before A Hurricane Strikes" | Sponsored by Global Risk Consultants, a TÜV SÜD Company (New!) 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RIMS Virtual Workshops On-Demand Webinars RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Strategic & Enterprise Risk Center RIMS-CRMP Stories — Featuring RIMS President Manny Padilla!   RIMS Events, Education, and Services: RIMS Risk Maturity Model®   Sponsor RIMScast: Contact [email protected] or [email protected] for more information.   Want to Learn More? Keep up with the podcast on RIMS.org, and listen on Spotify and Apple Podcasts.   Have a question or suggestion? Email: [email protected].   Join the Conversation! Follow @RIMSorg on Facebook, Twitter, and LinkedIn.   About our guest: Roy C. Hock,  Director, Risk Finance & Casualty Insurance, Valero October is Energy Awareness Month.   Production and engineering provided by Podfly.