A risk committee must perform the following functions:
| (a) |
assist the board of directors in its evaluation of the adequacy and effectiveness of the risk management system; |
| (b) |
assist the board of directors in the identification of the build-up and concentration of the various risks to which the insurer is exposed; |
| (c) |
assist the board of directors in identifying and regularly monitoring all material risks to ensure that its decision-making capability and accuracy of its reporting is adequately maintained; |
| (d) |
facilitate and promote communication, through reporting structures, regarding the matters referred to in paragraph (a) or any other related matter, between the board of directors and managing executives; |
| (e) |
ensure the establishment of an independent risk management function; |
| (f) |
introduce such measures as may serve to enhance the adequacy and effectiveness of the risk management system; and |
| (g) |
co-ordinate the monitoring of risk management on an enterprise-wide2 and individual business unit basis. |
|
2 |
The references to enterprise-wide refer to different activities across the solo insurance entity. |
Gas Regulator Levies Act, 2002
