The Chief Risk Officer (the CRO ) is responsible for the design and execution of enterprise risk management ( ERM ) strategies of the Company, with distinct responsibility for the risk management function and for maintaining and monitoring the effectiveness of the Company's risk management system.
The CRO is responsible for creating policies and practices that consistently and reliably identify, measure, monitor, manage and report risks faced by the Company and ensuring that risks are within approved tolerances, including insurance risk, credit risk, market risk (including liquidity risk), operational risk and group risk.
The CRO will assist management in optimizing risk-adjusted returns, and in embedding risk awareness into the Company’s decision-making.
Duties and Responsibilities :
Establish, maintain and oversee processes and controls for the identification, monitoring, measurement, mitigation and management of risks.
Implement and coordinate the own risk and solvency assessment ( ORSA ) process, including production of annual ORSA reports.
Establish and oversee the process for the identification, assessment and monitoring of risk exposures, including stress testing and scenario analysis.
Coordinate the process for the identification, assessing and reporting of emerging risks.
Establish, monitor and report risk appetites and tolerances.
Utilize risk model output to monitor, control and manage exposures within stated risk measures and ensure solvency capital levels remain in line with regulatory requirements and guidance.
Anticipate challenges and opportunities in growing and modifying product lines, including recommending actions to sustain and enhance the Company’s competitive position.
Promote risk-based decision making through the use of the economic capital model.
Assist management in setting targets for the return on economic capital and the allocation of available capital to optimize expected returns.
Assess the adequacy and effectiveness of, and revise as necessary, the Company’s risk management policies, procedures, processes and controls.
Establish and maintain processes for strategic risk management, including capital budgeting and monitoring of asset risk at the entity level.
Take into account and consider relevance and application of group-wide risks.
With other key function holders, promote an appropriate risk culture at all levels of the Company.
Ensure the adequacy of risk information, risk analysis and risk training provided to the Board of Directors / Risk Committee.
Liaise with regulators, as and when necessary, and coordinate regulatory inspections and reviews relevant to ERM.
Review and sign-off on any risk management related submissions to regulators, including the AWE SF SCR, Lloyd’s SF, LCR submission, LCM return, syndicate calculation kernel validation report
Responsibility for the syndicate Board validation report
Ensure effective risk management process and controls are in place around key regulatory submissions e.g., for the LCR / SBF submission, that each team is applying pre-defined controls to their deliverables.
Work with respective functions to ensure these are in place
Set the quarterly Risk Management Committee and Risk Committee agendas for the benefit of management and the respective Board of Directors.
Agenda topics and quarterly discussions will include :
Reviews of the risk appetites and tolerances at the entity level.
Reviews of risk exposures relative to the Company's risk appetites and tolerances.
Reviews of the Company’s risk profile, with the provision of comprehensive and timely information on the Company's material risks.
Reviews of business strategy, mergers and acquisitions, and major projects and investments, as applicable.
Reviews of any business plans or strategies that exceed the Company's risk appetites and tolerances.