Tag Archives: ERM

Using a Financial Impact Analysis to Define Risk Tolerance

Analytics

Many of the world’s leading corporations do not have an explicit and agreed definition of their risk tolerance or appetite. We facilitate and guide many clients in this area. An important tool for us to start a conversation about tolerance … Continue reading →

What Effect are New Regulatory Requirements Having on Risk and Insurance Managers?

overwhelmed risk manager

While I have been a broker for eight years, the 20-plus years I spent as a risk manager at a financial institution still dominate my outlook on issues. I will no longer fight it—resistance is futile! So welcome to my … Continue reading →

Is Risk Changing or is it All in our Heads?

All in your head

Accurately identifying and prioritising risk is crucial for business success and, more specifically, to help risk managers decide on investment priorities. Establishing a rational, dispassionate view of risk helps with making a more informed decision about how to treat that … Continue reading →

Adapting to Climate Change: Insurers as Bellwether

ClimateChange_Reinsurance

Insurance touches and is touched by much of human activity around the globe.  So it should not be a surprise that insurers can be expected to be a bellwether for the economic impact of climate change. Continue reading →

Guide to ERM: Economic Capital Model Validation

Analytics Graph (green)

Fundamentally, an economic capital model seeks to consistently use exposure information and limited actual experience to estimate the impact of remote events that may or may not have ever happened in the past. Those who seek to make use of … Continue reading →

Guide to ERM: Risk Management Disclosures

show your cards

U.S. insurers have made the case to the insurance regulators at the National Association of Insurance Commissioners (NAIC) who have been drafting the U.S. Own Risk and Solvency Assessment (ORSA) requirements that the ORSA report as defined will contain sensitive … Continue reading →

Guide to ERM: Change Risk

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The main processes for enterprise risk management in an insurer involve two levels of control cycles: The first level looks at the individual risks and sets out limits, controls and mitigation processes to assure that each individual risk that is … Continue reading →

Guide to ERM: Risk Management Culture

working group

The culture of a business can be easily observed in the statements and policies of top management and in the behaviors of management and employees. But to truly understand the culture of a business you need to know the shared … Continue reading →

Guide to ERM: Risk Governance

board

What should a board expect from management regarding risk and resiliency? As a part of strong enterprise risk management practice the board of directors should consider the following: Continue reading →

Guide to ERM: Interdependence of Risks

newton balls

One of the reasons that so few people predicted anything like the financial crisis of 2007-2008 was the common wisdom that housing markets in different parts of the U.S. moved independently of one another, and that there was very little … Continue reading →