Research On The Control Of Operational Risk In A Property Insurance Company Yunnan Branch

In the new era of China, the insurance industry of our country has made great progress whether it is from the scale of the insurance market or the quantity of the participate subject of insurance. However, compared with the developed countries, our insurance industry is still immature, especially, when it comes to the risk control, companies are faced with highly risk of insufficient solvency comes from disordered competition, which would finally lead to the bankruptcy. Under this condition, not only the basic function of insurance-increasing the social stability, decreasing risk, compensating the economic loss-can't be effective, but also make negative impact on social and financial system. On this occasion, it's urgent to strengthen the companies' ability of risk management which is essential for the company to reduce business risk, improve the management and realize sustainable development.Based on the case of A property insurance company Yunnan branch, and combined with the theory of risk, risk management, and the COSO internal control, this paper identified the existing risk in the internal operation in the company firstly, then, the risk is classified and evaluated, finally the measures of risk control is studied. The body of this article is divided into five parts. The first part is the introduction which introduces the background and reviews the literatures at home and abroad, and also the research contents and methods are also descripted. The second part is the basic theory of risk control and the COSO internal control. The third part is about the risk control of A property insurance company, the present situation and existing problems of Yunnan branch are depicted at first. Then, the current risk control system and status of the key parts is introduced. After that, the whole process of each part is carded and existing problems are analyzed. The fourth part proposes the risk control countermeasures. From the prospect of control environment, risk assessment, control activities, and combined with COSO internal control theory. At last, Conclusion, deficiency and prospect, this paper put forward suggestions to strengthen the construction of internal control culture and structure. On one hand, the risk assessment of business processes should be reinforced, necessary measures should be took in the key area of underwriting, claims, financial. On the other hand, it's important to build up a risk control system with its own characteristics. Through the analyzing of the microscopic main body of A property insurance company Yunnan branch, this paper is expected to give suggestions on the enterprise risk management to solve and prevent operation risks, so that its'competitiveness could get improved.