CHICAGO (October 28, 2014) – Baker Tilly Virchow Krause, LLP (Baker Tilly) is helping insurance organizations prepare to implement the Own Risk Solvency Assessment (ORSA) required by the National Association of Insurance Commissioners (NAIC). During a recent educational webinar, Best practices for ORSA implementation, almost 50%1 of respondents indicated that their biggest challenge in implementing ORSA is defining the content to be assessed and included in the Summary Report. This is significant, as almost 60%2 of respondents were in the gathering information stage of their ORSA implementation.
“Implementing ORSA is challenging because it is highly custom to each organization,” said Kevin Sullivan, director of risk consulting services in Baker Tilly’s insurance practice. “There is no one-size-fits-all solution. Each company’s unique risks determine what should be assessed and included in the Summary Report for the NAIC. This initial assessment means more front-end work, but the information garnered can give companies really valuable information.”
“ORSA presents companies’ with a new opportunity to improve risk-based decision making processes and enhance financial returns,” said Shaun Flynn, consultant with Hanover Stone Partners. “They will have an opportunity to analyze a wealth of information about their company, which was previously siloed and hard to view altogether, and truly recognize an ERM value proposition.”
The webinar discussed best practices for implementing ORSA and covered:
- An overview of the ORSA regulatory requirements
- A review of enterprise risk management (ERM)
- Understanding how to build a practical implementation plan
- Utilizing existing resources and capabilities to support ORSA implementation
- Managing the business impact/benefits of ORSA implementation.
1) 48.3% of respondents answered “defining or clarifying information.” Poll question during Best Practices for ORSA implementation webinar on 10/21/14.
2) 58.3% of respondents answered “gathering information stage.” Poll question during Best Practices for ORSA implementation webinar on 10/21/14.
About Baker Tilly Virchow Krause, LLP (bakertilly.com)
Baker Tilly Virchow Krause, LLP (Baker Tilly) is a nationally recognized, full-service accounting and advisory firm whose specialized professionals connect with clients and their businesses through refreshing candor and clear industry insight. With approximately 2,700 employees across the United States, Baker Tilly is ranked as one of the 15 largest accounting and advisory firms in the country. Headquartered in Chicago, Baker Tilly is an independent member of Baker Tilly International, a worldwide network of independent accounting and business advisory firms in 147 countries, with 30,000 professionals. The combined worldwide revenue of independent member firms is $3.2 billion.