The Global Risks Alliance (GRA)
What readiness means in insurance Nexus: the evidence, governance and documentation a programme needs before a competent institution can review it independently.
Resilience and finance… · Programme year 3
owner · stage · status
| Claims surge plan | Reinsurance buyer | Scoping | M2 · week 6 | On track |
| Pricing model validation | Supervisor | Scoping | M4 · week 10 | Blocked |
| Protection gap study | Appointed actuary | Scoping | M7 · week 35 | On track |
| Climate scenario analysis | Claims director | Review | M8 · week 16 | On track |
| Takaful governance review | Supervisor | Scoping | M6 · week 33 | Blocked |
person-weeks
Insurance Nexus · Workstream trackerWorkstream tracker, in outline: domain structure with placeholder names and illustrative values, not a record.
Readiness in Insurance Nexus is the state in which a programme's evidence, governance and documentation let a competent institution review it independently, against frameworks such as Insurance Core Principles and ComFrame and Solvency II. A readiness file is released only at the owner's written direction, and GRA does not approve, rate, underwrite, lend or invest.
Fig.A programme from scoping to the owner's decision. Design, not a record.
Which places drive loss in a severe year, and how far it reaches into reinsurance. Illustrative design values.
A readiness file describes a programme's evidence, risks and governance so that an institution can carry out its own review. GRA does not approve, rate, underwrite, lend or invest, and it recommends no counterparty.
These are the classic insurability criteria from the actuarial literature. A file never states a premium or a rate.
| Test | Question | Evidence a readiness file can carry |
|---|---|---|
| Assessability | Can frequency and severity be estimated with stated uncertainty? | Hazard layers with return periods, exposure schedule, loss history |
| Randomness and independence | Are losses sufficiently independent, or does one event hit the whole pool? | Accumulation maps showing how much exposure one footprint covers |
| Affordability | Would a technically sound premium be payable by the policyholders concerned? | Income and settlement data beside modelled average annual loss, as context only |
| Moral hazard and adverse selection | Does cover change behaviour or attract only the worst risks? | Risk reduction measures, building codes and enforcement records |
An insurer that writes a new programme adds to its own capital requirement: under Solvency II at the 1-in-200 annual loss, under the Insurance Capital Standard for internationally active groups, or under a local regime. It also reports the programme under IFRS 17. A readiness file therefore prepares the exposure evidence a carrier needs to run its own model, and leaves pricing, capacity and terms to the carrier. Hazard evidence comes from GCRI flood and storm; market structure context from the market structure topic.
A file is released only at the programme owner's written direction, to a party the owner chooses, with no fee tied to any transaction.
Each term as this page uses it. Where a standard-setting body defines the term, the wording follows that body.
| Term | Definition |
|---|---|
| Readiness file | A document set describing a programme's evidence, risks, governance and data so that a competent institution can carry out its own independent review; it is not an approval, rating or offer of finance. |
| Due diligence | The independent investigation a lender or investor carries out before committing finance. |
| Environmental and social safeguards | Requirements lenders set so financed projects avoid, minimise and offset harm to people and the environment. |
| Protection gap | The share of economic loss from an event or risk that is not covered by insurance and falls on households, firms or public budgets. |
The bodies and documents this page is read against. Status and editions change; each link goes to the issuing body.
The current service level is R0: information and enquiries. An enquiry receives a reference and names the next step; applications, payments, compute allocations and registrations open only when their team, terms and review capacity exist.