Implementation of the own risk assessment (ERB) for institutions for occupational retirement provision
Overview
The results report deals with issues relating to the practical implementation of BaFin's Circular 09/2020 “Minimum regulatory requirements for the own risk assessment (ERB) of institutions for occupational retirement provision (IORPs)” (ERB Circular) and is aimed at actuaries who work for an IORP within the framework of the ERB, in particular for the independent risk controlling function (URCF) and the actuarial function (VMF).
The implementation of the minimum requirements for the ERB relates in particular to the assessment of the overall risk profile of an IORP or the pension schemes it operates. As part of the ERB, the IORP must in particular
- the effectiveness of the risk management system
- the overall financing requirements
- operational risks,
- ESG risks and
- risks for members and beneficiaries in relation to the payment of their pension benefits.
- to assess. Possible measures to cover the funding requirements and to protect members and beneficiaries must be addressed.
The approaches presented are to be understood as indications of individual aspects of the ERB and can - with an appropriate interpretation of the principle of proportionality - provide indications of how to meet the minimum regulatory requirements for the ERB, although other approaches are also possible.
The results report is to be forwarded to the members and committees of the DAV for information on the status of the discussion and
