Understanding the Benefits
The key benefits captive managers should expect from a technology solution include:
Meeting Regulatory Requirements
In our experience, being able to meet expanding regulatory
reporting requirements is the primary reason captive
managers invest in risk management information systems.
A key benefit of having a RMIS is that it provides captive
managers with reliable, auditable data that can be easily
analyzed and reported upon.
Improving Risk Management
The rise of corporate governance around risk management
has led to more parent-initiated auditing; as a result,
captives must respond to a mandate for more formal data
management and enhanced reporting. Accurate tracking
and reporting on the evolvement of identified risks is key
for both the management and reporting of risks.
Meeting the Parent Company's Reporting Needs
Meeting the parent company's own reporting requirements
is another key benefit of improving a captive's data
management. A captive forms part of its parent's balance
sheet, and corporate boards want accurate reporting on
the captive's potential impact on the enterprise's finances.
THE CAPTIVE INSURANCE RENAISSANCE | 9
