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Governance and Risk Management in United Kingdom Insurance Companies

Published online by Cambridge University Press:  12 March 2012

S. P. Deighton ,
R. C. Dix ,
J. R. Graham  and
J. M. E. Skinner
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Abstract

For some while there has been a growing awareness from both internal and external stakeholders that the governance and risk management in United Kingdom (U.K.) insurance companies needed to be enhanced. The proposed European Union Solvency II Directive makes this very explicit and the current economic turmoil has put a much stronger emphasis on the whole process: it is being seen as the right thing to do, rather than simply a regulatory requirement. In this paper, we set out the background to and recent history of governance for U.K. insurance companies, and consider how enterprise risk management can bring together the various control frameworks needed to support that governance. Whilst no two companies are the same, and hence the solutions to these issues will vary, there are several common themes linked to successful implementation. Similarly, various barriers to success are identified, together with solutions to resolve them.

Keywords

Corporate GovernanceRisk ManagementEnterprise Risk Management (ERM)Solvency IITurnbullCombined CodeChief Risk OfficerInternal ControlsListing RulesSarbanes-OxleyFinancial Reporting Council (FRC)Rating AgenciesInternal AuditStrategy
Type
Sessional meetings: papers and abstracts of discussions
Information
British Actuarial Journal , Volume 15 , Issue 3 , September 2009 , pp. 503 - 556
Copyright
Copyright © Institute and Faculty of Actuaries 2009

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