Analysis Of Operational Risk Loss Data Of Insurance Companies

The insurance company is faced with all kinds of financial risks from the outside,such as underwriting risk, investment risk, credit risk and interest rate risk,macro-economic fluctuation etc., unlike other risks, operational risk does not berecognized and accepted by most people until huge losses caused by operation riskhappened in recent years. However, operational risk management in domesticinsurance business in general is relatively backward, and yet there is limited empiricalanalysis of operational risk of insurance enterprises in the academic circles.This paper first describes the operational risk research and the present situationof domestic and foreign financial institutions’ operational risk management, as a basisfor analysis. Then it selects the A insurance company as the research object, throughthe analysis of historical data of the operational risk loss events of A insurancecompany in recent years, and analyzes the reasons for the operational risk incident.Finally, according to the status of operational risk management in domestic insuranceenterprises, it puts forward suggestions of the improvement of operational riskmanagement for domestic insurance enterprises from different management, systemand procedure, evaluation mechanism.The results of this study if of value of practical application to strengthen andimprove the risk management framework to other domestic insurance companies.