The Structure Of Internal Control System In TP Life Insurance Company Based On COSO’s New Internal Control-Integrated Framework

In the 2003, The Committee of Sponsoring Organizations of the Treadway Commission (COSO) issued new Internal Control-Integrated Framework.To life insurance company, its cost always later, amass risk, the same product and service, special management, all these makes Internal Control-Integrated Framework is meaningful to life insurance company. In some sense, the new Internal Control-Integrated Framework changed the mind of life insurance company in our country. Internal control emphasize entities achieve important objectives and sustain and improve performance again. This Framework enables life insurance company to effectively and efficiently develop systems of internal control that adapt to changing business and operating environments, mitigate risks to acceptable levels, and support sound decision making and governance of the organization. TP life insurance company is the sixth life insurance company of China, and keep 8% market share. In the 2011, TP corporation has been state owned, become one of the four state owned insurance corporation. This not only a opportunity to TP life, but also a challenge to the internal control system of TP life insurance company.This paper basic on Internal Control-Integrated Framework, analysis the feature and management current situation of TP life and the whole situation of life insurance company. Then analysis the existed internal control system, based on control environment,risk assessment, control activities information and communication, monitoring activities. According to these,we found that the internal control in TP life insurance company is ok, but meanwhile, there are some problems, especially combine with the update of 2013 framework, TP life insurance hasn’t update their internal control system. So we according to the update of new internal control framework to built the new internal control system of TP life insurance compang: make sure the duty of board of directors, build up a completed information safety manage system, begin the mode of anti-money laundering, manage the mislead of sales, build up financial fraud system, set operation and compliance objective. Then according to this system we have built,we carrying this system. Later,we found that, internal control system is very important to life insurance company, especially after the new internal control system based on the new framework, the internal control situation of TP life insurance company has been change, the operation is better, and it could be adapt for the financial environment,so make it get more benefit without operation risk. And I believe that this internal control system which according to the new framework, it could be fit with the changing industry environment and existed inancial environment, and reduce the risk of company. The most important, hope this could be the use for reference of the whole life insurance company.