The Challenge.
The client, a leading international (re)insurance business operating across Bermuda, London and Dublin, embarked on a strategic corporate restructure to create clearer separation between its managing general agent (MGA) entities and its insurance entities. This transformation required the development and implementation of a robust service management framework to govern the interactions between these entities, including binder agreements and back-office service arrangements.
With a large number of service schedules forming the backbone of the new framework, the client needed a partner capable of delivering a comprehensive governance and operating model that would meet regulatory expectations, ensure operational resilience, and maintain business continuity.
The Solution.
We were selected to lead the design and implementation of the governance transformation. The engagement included:
- Mapping and gap analysis of current activities across the MGA and insurance entities to identify areas requiring change.
- Designing target operating models (TOMs) for three regulated entities, ensuring alignment with strategic goals and regulatory requirements.
- Creating oversight arrangements for the insurance group to monitor MGA activities, incorporating PRA/FCA outsourcing and operational resilience standards.
- Reviewing and updating policies, procedures and process maps, with a focus on enhancing controls and compliance.
- Assessing and implementing a "three lines of defense" model, including risk and control assessments to support the new framework
We deployed a team of subject matter experts with deep experience in compliance, risk, governance and operations. The team was built from our own employees and a group of subject matter experts in some very specialist areas from our talent pool. The team included:
- Lead and supporting specialists on compliance and governance.
- Individuals to lead and deliver the operations and TOM work.
- A risk SME from our talent pool with extensive experience in operational resilience.
- A specialist in alternative risk with PRA experience and deep knowledge of Solvency II and ERM.
The Outcome.
The client successfully transitioned to its new governance and operating model within the targeted timeframe. Key outcomes included:
- Clear delineation of responsibilities between MGA and insurance entities.
- Strengthened regulatory confidence, with frameworks aligned to PRA/FCA expectations.
- Operational resilience embedded into the service management framework.
- Sustainable governance structures that support future scalability and strategic growth.
Why It Matters.
In complex restructures, governance is not just a compliance requirement — it's a strategic enabler. The client was able to leverage our expertise to build a resilient, compliant and future-ready operating model. The project exemplifies how targeted advisory and implementation support can transform regulatory challenges into operational excellence and help be an enabler for growth.
