The second generation of enterprise risk management solutions

Scheme background

The China’s risk-oriented solvency system (hereinafter referred to as the second generation of solvency system) has been officially implemented since 2016 after attempted for one year in 2015. On this basis, China Insurance Regulatory Commission (CIRC) started the second phase of the second generation of solvency system to further improve the regulatory rules. In the context of the full implementation of the second generation of solvency system, highlighting the risk orientation and improving the supervision effectiveness have become two main lines that insurance companies should adhere to in internal control, compliance and overall risk management. Chinasoft International summarizes and extracts the solutions on comprehensive risk management and monitoring of insurance companies through the in-depth interpretation to the regulatory of the second generation of solvency system and by combining with the company’s rich project implementation experience in risk management in various professional fields such as insurance internal control compliance, operating system risk, market risk and credit risk, which assists insurance companies in identifying, quantifying, managing and monitoring all kinds of risks effectively, and satisfies the requirements of the second generation of regulatory.

Scheme content

The second generation of the solvency system comprehensive risk management solution of Chinasoft International covers five modules, including fundamental platform support, daily risk management, asset and liability management, risk preference system and risk monitoring system, which performs the comprehensive analysis, management and monitoring to seven types of risks of insurance companies. The fundamental platform provides the infrastructure for the flexible configuration of the whole risk measurement, risk mart construction, risk management flow and risk monitoring interface. Daily risk management, asset and liability management, and risk preference system help insurance companies to establish the internal risk control mechanism from the perspective of comprehensive risk management through the establishment of risk identification and control system, asset and liability management framework and risk preference system, so as to strengthen responsibility transmission and improve risk control ability. The risk monitoring system provides flexible reports and query functions to present comprehensive risk control and risk information for the monitoring, attribution analysis and flexible query of various risks.

Scheme value

The second generation of the solvency system comprehensive risk management solution of Chinasoft International: assist insurance companies in perfecting the internal risk control process mechanism, strengthen responsibility transmission and improve risk control ability; help insurance companies to set up a risk management system that adapts to the requirements of regulatory of the second generation of solvency system, realizing the comprehensiveness and integrity of risk management; assist insurance companies in identifying, quantifying, managing and monitoring all kinds of risks effectively, to satisfy the regulatory requirements of the second generation of solvency system for the three pillars of an insurance company’s solvency.