Companies find themselves confronted with various risks in the course of their business activities. These risks must be identified and managed. Appropriate risk management minimises the business risk on all levels and is vital to an undertaking's long-term success. For this reason, companies are subject to various legal requirements governing risk management. The "Own Risk and Solvency Assessment" (ORSA), for example, is a core element of the Solvency II Directive. The ORSA requires companies to continuously monitor their risk position and financial situation and to review whether their risk management identifies and adequately considers all risks.
Our risk management encompasses chronological risk scrutiny, detection and assessment and defines corresponding actions and control loops. Through established structures and responsibilities we ensure comprehensive evaluation of the risks that we intend to take on. Maximising the opportunities associated with these risks assures the sustainable development of our business. By identifying emerging risks at an early stage and leveraging them for our business, for example, we are consistently able to respond to the changing needs of the market and our clients and, ideally, secure our unique selling proposition.
In the context of our materiality process we identified the topic of risk management as material.