Enterprise Risk Management

Syllabus

1. The concept and framework of Enterprise Risk Management (ERM) – basic concepts, principles and benefits of ERM. The structure of risk management and controls within an insurance company. 2. The role of regulators in ERM. Legal and regulatory frameworks Solvency II and Basel III. The role of credit rating agencies in the ERM. 3. ERM process. Identification, analysis, evaluation, mitigation, monitoring and communication of risks at the company level. 4. Risk identification. Definitions and concepts of risk. Risk classification. 5. Types of risks, including underwriting, market, credit and operational risks. 6. Risk measurement and modeling. Use of risk management models in the context of pricing, reserving, valuation of assets and liabilities and capital management. 7. Solvency and profitability of the insurance company and capital management. Consequences of risk on capital requirements, including economic and regulatory capital requirements. 8. Asset and Liability Management (ALM). 9. Risk aggregation methods. 10. Risk mitigation, risk mitigation techniques. 11. Risk monitoring and exposure. The importance of risk reporting to managers and other stakeholders. 12. Implications of risks on strategic planning and strategy selection. 13. Comprehensive use of the ERM in practical situations.