The risk management strategy is fully aligned with the company’s overall strategy while ensuring a separation of duties between risk policy setting, monitoring and controls and business management.
The strategies of minimise risk are formulated keeping into account the risk profile, reporting risk issues, implementation of risk management and so on.
Corporate Risk Unit (CRU) is developed to assess and formulate risk management strategies.
Risk model is developed with the help of actuaries, technical analysts, expertise consultancy pricing, financial management and capital management are analysed for the purposes. The strategies are formulated by imagination and identifying weaknesses.
The insurer imagines control-devices. Regular dynamic reviews and current risk factors are adjusted. Liquidity, derivatives, rescuing credit exposure, counter-party exposure and reinsurer exposure are estipulate for the purpose.
The depth study of previous losses due to epidemic mumps, meningitis etc. are conducted by the management.
Identifying Weaknesses :
The risk management weaknesses are identified and remedied. The risk profiles, measure and metrics are thoroughly analysed for the purpose.