The CRO Forum is pleased to announce this thought leadership paper – insurance risk management response to the financial crisis. Through our group of large international (re)insurance companies, we are working together to identify best risk practices and sharing our views with the aim to strengthen risk management practices in the insurance industry and improve the knowledge of risk professionals globally.
This paper summarises the CRO Forum’s views on the key elements of effective risk management, the differences between insurance and banks’ approach to risk management, and the importance of economic-based group supervision for cross-border (re)insurers. The paper covers five major themes which the CRO Forum considers to be necessary responses to the crisis:
- Integrated Risk Governance;
- Risk Models;
- Liquidity Risk Management;
- Valuation and Risk Disclosure; and
- Group Supervision.
These themes have proved to work effectively for those (re)insurance companies that have rigorously followed these principles and they should form the basis for any conclusion to be drawn as lessons learned from the crisis.
We hope you will find this paper informative and helpful and we remain at your disposal to provide further explanation on this study.