msg globals

msg global is supporting the insurance industry in the implementation of Solvency 2 considering the individual requirements of the 3 pillars as well as the related cross-Pillar topics.

For the valuation part of Pillar 1 msg global delivers software and predefined business content for the valuation of insurance products and acts as a processing platform to feed General Ledger, Actuarial Engine and Business Warehouse systems with its results. It can be connected to custom specific risk engines / actuarial systems to feed and get the results of internal models. Via regular business content updates, future changes of the Solvency II standard will be reflected.

Many insurance companies already have calculation engines in place.  Our solution leverages on already existing calculation results that are required as input for the SCR from known market tools such as Moses, Prophet, MG-ALPHA, Market Risk Analyzer and similar.  The msg calculation engine is then able to perform missing calculation steps and aggregate the inputs according to the defined correlation matrices to arrive at the overall SCR (standard formula).
In addition, the calculation engine has its own design environment, allowing you to adapt or add own formulas where necessary with a controlled test and release process once finalized.

We support our customers in the definition of the risk management framework and governance arrangements to enable them to undertake their Own Risk and Solvency Assessment (ORSA) and related KRI’s.

We are providing experts together with a methodology for risk assessment and accompany our customers in an efficient setup of the ORSA by evaluating the usage of SAP GRC in addition to SAP for Insurance and SAP ERP.

msg offers a solution based on SAP BusinessObjects (BO) technology that will allow you to load data from a broad spectrum of source systems and transform this into the necessary formats. In addition, the solution offers a calculation engine that consolidates the multiple calculation engines often found in-house for the various risk types and can then support narrative and xbrl reporting to the public and to supervisors. Together with the SAP BO solution msg offers a Solvency 2 data model which is integral part of msg’s insurance data model.

msg global is now well into the development of the QRTs as per the specification provided by EIOPA in November 2011.  Once completed, msg can offer the standardized reports – or components thereof – as an implementation accelerator or as a product.  You then have the ability to develop your own company specific internal reports on the same platform to support users in additional data analysis and verification using the same data source, thus enhancing business understanding and minimizing the risk of errors.

With the increasing complexity associated with the financial reporting requirements today, producing a reliable and auditable financial statement is becoming more and more of a challenge. Here SAP’s BO Disclosure Management can help. This is a tool that aims to structure report creation, including functions for workflow, approval, audit and versioning and supporting multiple output formats including the regulatory xbrl interface together with UBMatrix.
In addition to the provision of the QRTs in the SAP technology and in the relevant languages msg also ensures the maintenance of this reports.

Download Solvency II Brochure

Regarding this cross-Pillar topics, which are important for the succes of a Solvency 2 project, we offer:

- Solvency 2 program management
- Definition of the responsibility of the involved internal departments
- Solvency 2 data model
- Quality and availabilty of data
- Review/Adaptation of the IT and Datawarehouse infrastructure
- Definition of the financial prinicples for Solvency 2
- Review of the current processes related to a multi-gaap environment
- Change Management and training

msg global offers an archiving and records management solution for Solvency 2 reports based on the technology of our ECM (Enterprise Content Management) partner OpenText.

Extensive risk reporting plus documentation of key processes, formulas, parameters,methods, procedures, actions, stipulations and decisions are only a few of the requirements for a structured filing system.

According to Solvency 2 these filing systems must be able to manage the complete lifecycle of the relevant data and documents as well as offering control mechanisms, validation and acceptance processes.

The proposed solution supports Solvency 2 reporting and documentation requirements and is based on OpenText ECM Suite 2010. With OpenText ECM Suite 2010, you can manage your content in compliance with Solvency 2 regulations and corporate governance and at the same time create an engaging online experience for customers, partners, and employees.