Our Insurance Operational Risk Reporting Standards (I-ORRS) define the requirements for member reporting their operational losses to ORX. The definitions and principles are designed to help you with consistent data categorisation and reporting.
The standards are in two parts. The first part (Sections 1-7) contains definitions, descriptions, reporting requirements and examples. The second part (Section 8) contains detailed data categories for business lines, event types and additional large loss event attributes.
The Insurance Operational Risk Reporting Standards was developed by leading global insurers to be in line with the CRO Forum high-level operational risk definitions, and wherever possible, to be consistent with the ORX Banking Operational Risk Reporting Standards.
Types of categories
The Insurance Operational Risk Reporting Standards prescribes categorisation of loss data beyond event type to enable a better understanding of loss events and their impact on profit and loss, and enhance benchmarking and modelling.
The large loss attributes provide information on root cause and function and provides for a free text event description.
In more detail
Each of the detailed sections has a consistent format outlining the principle or definition. This is followed by the requirement and examples of items to be included and excluded from reporting to ORX.
Our Insurance Definitions Working Group find it useful to refer to these definitions and principles when discussing issues around categorisation and various boundaries, in particular between operational and other risks.
