ING Direct 2011 Annual Report Download - page 270

Board
Office of CEO
(OCEO)
Executive Committee
(EC)
Risk
Committee
Product
Committee
Asset Liability
Committee
Business Unit Risk Committees
Operational Risk
Committee
Model
Committee
Operations
Committee
Investment
Committee
Talent & Organisation
Development Committee
Risk management continued
ING Insurance US
Executive Level
As noted above, during 2011 ING Insurance US transitioned from a financial risk committee called “Business Line Insurance US & BL US
Closed Block Variable Annuity Asset Liability Committee” and a non-financial risk committee called “Operational Risk Committee” to the
expanded structure described below.
For risk related issues the MB AIH relies on the Executive Committee which has delegated risk related tasks to the following committees:
• Risk Committee
Assists the Executive Committee (EC) by focusing on ING Insurance US risk management and capital issues.
Advises the EC with respect to financial, non-financial, product and model risk issues (“All Risks”).
Recommends, approves and reviews risk policies and determines risk appetite, tolerance and limits.
The Risk Committee has a number of sub-committees focussing on different risk areas:
– Product Committee
Oversees all insurance product risk issues across ING Insurance US. These include insurance risks and interest rate sensitivity
(interestguarantees, profit sharing to policyholders, lapse/surrender or increased exposure of products sold, and hedges).
Responsible for preparation/approval on product risk items (e.g. product approval, actuarial assumption setting), monitoring
underwriting and management of the product portfolio.
– Operational Risk Committee
Oversees all non-financial risk issues across ING Insurance US. This includes operational, compliance, legal and reputation risk.
Responsible for preparation/pre-approval of non-financial risk items, oversight on non-financial risk issues, and deciding on
reported risks and proposed accepted risk.
– Model Committee
Oversees all model and model validation risk issues across ING Insurance US.
Responsible for preparation/pre-approval of model risk items and oversight on model validation.
– Asset Liability Committee
Reviews methods and techniques for calculating Asset Liability Management risk, advice about limits and check for breaches
in the investment mandates.
Addresses balance sheet management, Statutory Capital requirements, and liquidity needs and recommend to the Executive
Committee.
Oversees activities and initiatives related to ING Insurance US debt ratings and relationships with ratings agencies.
Recommends capital and liquidity requirements to the Risk Committee.
268 ING Group Annual Report 2011