Captives
Captives are by definition a ‘special purpose vehicle established to insure all or part of the risks of its parent and/or affiliated companies’. As such, they are often central to an organisation’s risk financing needs on a local and/or global scale.
Information is critical, from supporting the underwriting, through to managing claims. Having the correct information and subsequent insight will help to ensure effective captive management. Availability of timely and accurate claims information is key.
Integration of claims data into the monthly or quarterly reporting requirements that are given is not only crucial from a regulatory perspective, but also a key competitive differentiator for providing a value-added service. Of equal importance from a captive manager’s perspective is the ability to oversee and report on the erosion of retention levels of the captive, as well as the possibility to lodge this information and claims to reinsurers participating in the programme.
Being able to take global views of underwritten individual lines of business, or even a whole portfolio approach, will enable the captive manager to keep the reinsurance panel fully informed on a regular basis. The captive manager no longer needs to try and collate data from multiple spreadsheets or battle with data integrity issues. RiskConsole is a tool to improve transparency and risk management processes, and to comply with the increasing need for internal controls under corporate governance legislation.
Benefits
- facilitates compliance with regulations and requirements, such as Solvency II and SAS (“Statement on Auditing Standard”) 70 Type II
- supplies asset and risk exposure data for (re)insurance renewal negotiation and administration
- ability to easily report on exposures through all insured levels, as well as retained risks
- assists with premium calculation, allocation and associated tax compliance
- streamlines policy, claims and renewal processes
- provides up-to-date accurate loss data and claims statistics
- tracks reinsurance attachment points and aggregate erosion levels
- provides a single secure source of data that is accessible by the captive and parent company 24/7, regardless of time zone or geographic location
- enables automatic generation of periodic or ad-hoc reports, including annual actuarial and board reports
"To summarise in a few words, Aon RiskConsole is professional, easy to use and cost efficient."
Galt a/s – Captive for Danish Crown