Undertakings must have an effective risk-management system of strategies, processes and reporting procedures to identify, measure, monitor, manage and report, continuously, risks at individual and aggregated level and their interdependencies, integrated into the organisation and decision making. It must cover risks in the SCR and those outside it, and at least underwriting and reserving, asset-liability management, investment (notably derivatives), liquidity and concentration, operational risk, and reinsurance and other mitigation, each with a written policy. The Delegated Regulation requires a documented risk strategy with approved risk tolerance limits, stress tests and scenario analysis where appropriate, no sole reliance on external credit ratings, policy content per area (including deferred taxes) and integration of sustainability risks into the underwriting and investment policies.
The graph holds this control, the 0 it maps to, and the evidence behind each claim, over MCP and REST.