Enterprise Risk Management

ENTERPRISE RISK MANAGEMENT

Enterprise Risk Management (ERM) is a structured approach to identifying, quantifying, and treating all material risks across an organisation. For insurers, this means building risk registers, setting risk appetite limits, developing internal capital models, and producing the Own Risk and Solvency Assessment (ORSA) frameworks that regulators and rating agencies require.

Our ERM practice provides the following services:

Holistic Risk Management

ERM is a holistic approach to risk management that helps in identifying, quantifying, and treating all risks facing an organization. It is a critical pillar of corporate governance and explicitly accounts for risk dependencies across various organizational activities. Our process improves efficient capital deployment and Management's understanding of risk, actively supporting informed, strategic decision-making.

With the increased focus from Regulators and Rating Agencies in recent times, comprehensive Enterprise Risk Management has gained significant prominence.

At Lux, we provide tailor-made ERM solutions to support profitability, business growth, and strict regulatory compliance.

Our Main ERM Offerings

Some of our main offerings include:

• Developing and implementing successful ERM frameworks within a considered Corporate Governance and Internal Control environment.
• Developing a risk register by identifying, assessing, and prioritizing risks at individual and corporate levels.
• Assessing risk likelihood, impact, and control effectiveness.
• Developing risk appetite statements including key risk metrics, tolerances, and limits.
• Developing interactive risk dashboards to aid ongoing risk monitoring and reporting.
• Providing specialized ERM training and workshops for Senior Management and the Board of Directors.
• Supporting insurance companies with their ratings agency propositions for potential upgrades, including specialized training and meeting presentations.
• Supporting formal Risk Management audits.
• Delivering advanced risk quantification using sophisticated capital modelling techniques.
• Developing Internal Capital Models to assess solvency and future capital needs.
• Building robust Own Risk and Solvency Assessment (ORSA) frameworks, complete with advanced stress and scenario testing capabilities.