For CBS-1 Reinsurance Underwriting & Pricing, this mapping provides a clear line of sight from strategic intent and data inputs through to underwriting decisions, contract issuance, and post-binding monitoring.
It highlights the interdependencies between people, processes, technology, third parties, and upstream/downstream services that collectively support underwriting continuity.
Consistent with the 2025 BNM Discussion Paper on Operational Resilience, this chapter adopts a service-centric and outcome-focused approach. Rather than mapping organisational silos, the emphasis is on identifying resources whose disruption could prevent MLRe from remaining within its impact tolerance for underwriting and pricing activities.
This mapping forms the basis for scenario testing, vulnerability identification, substitution planning, and investment prioritisation in later phases of the operational resilience lifecycle.
|
Sub-CBS Code |
Sub-CBS |
Processes |
People |
Technology (Applications & Infrastructure) |
Third-Party Vendors |
Upstream / Downstream Dependencies |
|
1.1 |
Risk Appetite & Strategy Setting |
Define underwriting philosophy, risk limits, pricing corridors, and target portfolios |
Board, CEO, Chief Underwriting Officer, Chief Risk Officer, Strategy Team |
Enterprise Risk Management (ERM) system, MIS dashboards, secure document repositories |
Market intelligence providers, actuarial advisory firms |
Upstream: Market data, regulatory expectations Downstream: All underwriting and pricing activities |
|
1.2 |
Data Acquisition & Validation |
Collect cedant data, historical claims, and exposure data; validate completeness and accuracy |
Underwriting Analysts, Data Analysts, Actuarial Team |
Data warehouses, ETL tools, data quality engines, secure file transfer systems |
Cedants, data aggregators, and actuarial data providers |
Upstream: Cedant submissions Downstream: Risk modelling and pricing analytics |
|
1.3 |
Risk Modelling & Pricing Analytics |
Model mortality, morbidity, lapse, catastrophe and financial risks; derive technical rates |
Actuaries, Pricing Specialists, Risk Modellers |
Actuarial modelling software, pricing engines, and high-performance computing infrastructure |
Actuarial software vendors, catastrophe model providers |
Upstream: Validated data Downstream: Underwriting assessment and quotation |
|
1.4 |
Underwriting Submission Intake |
Receive and log underwriting submissions; classify by product, size, and complexity |
Underwriting Assistants, Operations Team |
Workflow management systems, document management systems |
Cedants, brokers |
Upstream: Cedant/broker submissions Downstream: Risk assessment |
|
1.5 |
Underwriting Risk Assessment |
Assess risk acceptability against appetite, underwriting guidelines, and exposure limits |
Underwriters, Senior Underwriters, Medical Underwriters |
Underwriting systems, guideline rule engines |
Medical data providers, underwriting consultants |
Upstream: Submission intake, pricing analytics Downstream: Pricing formulation |
|
1.6 |
Pricing & Quotation Formulation |
Finalise rates, terms, and conditions; structure reinsurance treaties |
Underwriters, Actuaries, Legal Advisors |
Pricing tools, quotation generation systems |
Legal advisory firms |
Upstream: Risk assessment Downstream: Compliance review and approvals |
|
1.7 |
Regulatory & Compliance Review |
Check alignment with BNM guidelines, Shariah (if applicable), AML/CFT, and internal policies |
Compliance Officers, Legal Counsel, Shariah Advisors |
Compliance monitoring tools, regulatory libraries |
External legal counsel, Shariah advisory firms |
Upstream: Quotation formulation Downstream: Governance approval |
|
1.8 |
Decision Governance & Approval |
Apply delegated authority, committee reviews, and escalation protocols |
Underwriting Committee, Senior Management |
Governance workflow systems, approval portals |
None (primarily internal governance) |
Upstream: Compliance review Downstream: Contract issuance |
|
1.9 |
Documentation & Contract Issuance |
Draft, execute, and store reinsurance contracts and treaty wordings |
Legal Team, Operations Team |
Contract management systems, secure document storage |
External legal drafting firms |
Upstream: Approval decisions Downstream: Portfolio monitoring |
|
1.10 |
Portfolio Monitoring & Experience Analysis |
Monitor portfolio performance, loss ratios, accumulation, and emerging risks |
Portfolio Managers, Actuaries, Risk Analysts |
Analytics platforms, dashboards, data warehouses |
Actuarial consultants |
Upstream: In-force contracts Downstream: Strategy updates and feedback loop |
|
1.11 |
Exception & Escalation Handling |
Manage breaches of limits, pricing exceptions, and emerging risk events |
Underwriters, Risk Management, Senior Management |
Incident management systems, escalation trackers |
Specialist consultants |
Upstream: Any underwriting stage Downstream: Governance and remediation actions |
|
1.12 |
Reporting & Feedback Loop |
Produce management, regulatory, and board reports; refine models and guidelines |
Finance, Risk, Actuarial, Compliance Teams |
Regulatory reporting systems, BI tools |
External auditors, regulators |
Upstream: Portfolio monitoring Downstream: Risk appetite and strategy setting |
This process and resource mapping for CBS-1 Reinsurance Underwriting & Pricing provides Malaysian Life Reinsurance with a clear, defensible view of how underwriting outcomes are delivered under normal and stressed conditions.
In line with the 2025 BNM Discussion Paper, the mapping identifies critical dependencies—such as actuarial systems, specialist talent, and cedant data flows—that could materially affect MLRe’s ability to continue underwriting within defined impact tolerances.
More importantly, this mapping is not an end in itself. It establishes the foundation for scenario testing, vulnerability assessment, and resilience investment decisions, enabling MLRe to proactively strengthen its underwriting capabilities against severe but plausible disruptions. By maintaining this map as a living artefact, MLRe reinforces its ability to adapt, recover, and continue serving cedants while meeting regulatory and stakeholder expectations for operational resilience.
|
Building Organisational Resilience: An Operational Resilience Guide for Malaysian Life Reinsurance |
|||||
| eBook 3: Starting Your OR Implementation |
|||||
| CBS-1 Reinsurance Underwriting & Pricing | |||||
| CBS-1 DP | CBS-1 MD | CBS-1 MPR | CBS-1 ITo | CBS-1 SuPS | CBS-1 ST |
For organisations looking to accelerate their journey, BCM Institute’s training and certification programs, including the OR-5000 Operational Resilience Expert Implementer course, provide in-depth insights and practical toolkits for effectively embedding this model.
To learn more about the course and schedule, click the buttons below for the OR-300 Operational Resilience Implementer course and the OR-5000 Operational Resilience Expert Implementer course.
|
If you have any questions, click to contact us. |
||
|
|