Standards
- The board’s role is to provide entrepreneurial leadership of the managing agent within a framework of prudent and effective controls which enables risk to be assessed and managed. The board should set the managing agent’s strategic aims1, ensure that the necessary financial and human resources are in place for the managing agent to meet its objectives and review management performance.
- All directors must take decisions objectively in the interests of the managing agent.
- As part of their role as members of a unitary board, non-executive directors should constructively challenge and help develop proposals on strategy. Non-executive directors should scrutinise the performance of management in meeting agreed goals and objectives and monitor the reporting of performance. They should satisfy themselves on the integrity of financial information and that financial controls and systems of risk management are robust and defensible.
Toolkit
[1] Where relevant, the board may have regard to the strategic aims of the managing agent’s holding company and group
