Our ERM framework consists of a strong risk management culture throughout our organization, a focus on integrating risk management into our corporate governance, and the disciplined application of risk analytics.
Together, these practices are designed to:
- Identify, assess, measure, monitor and manage risks
- Optimize our risk-based capital position
- Maximize our risk adjusted returns on capital
- Manage underwriting, investment and operational volatility
- Clearly communicate our approach to our employees and external constituencies
Our ERM practices, which have been recognized by Standard & Poor’s with an ERM assessment of “Strong” – a distinction that only 20% of North America and Bermuda insurance companies share, make Sompo International an ideal long-term business partner.
We consider ERM the responsibility of every employee. With oversight by Christopher Gallagher, Director, Chief Risk Officer & Group Actuary, and active engagement from individual risk owners, our business units and our functional teams, we maintain transparent communications and successfully execute our risk strategy.
Sompo International maintains a corporate risk scorecard that monitors all risks and their correlations across the organization encompassing underwriting, catastrophe, reserving, investment, counterparty, and operational risks. We regularly assess the controls that are in place for each risk category and we continue to strengthen these controls as we gain insights from external events. Our risk assessment is supported by our modeling capabilities for each of these risk categories, as well as by our economic capital model, however, we believe it is critical to maintain an appropriate balance between a technical approach to measuring risk and realistic scenarios to stress-test our thinking and to plan for emerging risks.