As of February 1, 2017, the Minimum Requirements for Governance came into effect in the Federal Republic of Germany and are a major element of the second pillar of Solvency II.
Regarding the risk management, Solvency II requires the implementation of so-called governance key functions. Meyerthole Siems Kohlruss supports companies in matters of risk management related to actuarial and risk strategic questions. Furthermore MSK offers assistance concerning the interaction of the governance functions.
Fit & proper
Our great strength as an actuarial consulter is the connection between expert knowledge and longstanding experience. We have numerous references of the industry. Furthermore we pay maximum attention to data protection, which is regularly confirmed by the international certificate ISO 21007 (issued by DEKRA). Matching the requirements of "fit and proper," which describe professional competence ("fit") and reliability ("proper"), is easy for us.
Being one of the so-called key functions, the Actuarial Function forms part of the governance system required by the second pillar. The responsibilities and tasks of the Actuarial Function include the evaluation of the technical provisions, the expression of an opinion on Underwriting Policy as well as on the adequacy of Reinsurance. The Actuarial Function delivers directly reports to the management and has close links with the risk management function.
Meyerthole Siems Kohlruss carries out the Actuarial Function as an outsourcing service (in accordance with the regulation authorities) and provides external expert knowledge based on longstanding experience.
In addition to adjusting the risk management according to the Governance Directive, the second pillar requires that companies carry out a regular, extensive risk inventory. When implementing such an Own Risk and Solvency Assessment (ORSA), it is important to cover the whole risk management process - which should include, besides the relevant technical risks, aspects related to compliance as well as new phenomena such as cybercrime. Furthermore, the stability of a company's solvability situation should be assessed, by means of stress scenarios, for the medium term. With the help of specifically designed software solutions, we support your ORSA process in a competent and holistic way.