Risk Appetite definition

A clear risk bearing definition is a powerful tool to create understanding about how to support business objectives. However, in reality, it is a complicated process which organisations across the market are finding difficult to understand, define and apply in practice.

Risk appetites need to be applicable, tangible and practical so that they can be embedded across the business and discussed across all levels of the organisation. Our service enables insurers to create clear linkages between oversight, governance and reporting processes with strategic risk appetite statements. Our capability to identify stakeholder’s needs and how to define appetites accordingly has enabled us to work with clients to create meaningful and simple processes that provide a common understanding of risk across the organisation from high strategic objectives to function driven targets. At the centre of our solution we have defined simple and effective processes to integrate business reporting to risk appetite monitoring. This is applied in the governance process to derive clear ownership of risk appetite monitoring to drive decision making.