Managing agents should ensure syndicates maintain appropriate control of catastrophe risk (from natural and non-natural perils) in line with business strategy.
To support this, managing agents should ensure their syndicates:
Managing agents should ensure syndicates maintain appropriate control of catastrophe risk (from natural and non-natural perils) in line with business strategy.
To support this, managing agents should ensure their syndicates:
Manage catastrophe exposure in line with their agreed risk appetites
Employ data standards, risk quantification tools, controls, expertise, and reporting frameworks which are appropriate to their risk profile
Adequately justify and validate methodology and assumptions, including expert judgements
Have a complete representation of catastrophe risk in the internal model, reflecting all possible sources of loss and allowing effective use by wider business functions
Have robust governance and oversight of risk aggregations
Below are some of the frequently asked questions about this Principle, including the questions that were asked in the Technical Briefing session(s).
If you have any further questions, please reach out to Oversight.Framework@lloyds.com.