Corporate Governance

Corporate Governance

Corporate Profile

Liberty Specialty Markets Singapore Pte Limited (Liberty), a wholly-owned subsidiary of Liberty UK and Europe Holdings Limited, a company incorporated in the United Kingdom, is a licensed general insurer regulated by the Monetary Authority of Singapore (“MAS”). With a dedicated focus on specialist commercial risks, Liberty Singapore is differentiated by its multidisciplinary team of underwriters, risk engineers and claims professionals. Collectively, the Liberty Singapore team works side-by-side to understand the needs of our policyholders and create bespoke insurance solutions.

In June 2016, Liberty Singapore established a branch in Labuan (“Liberty Labuan Branch”). Liberty Labuan Branch is registered as a foreign Labuan company under the Labuan Companies Act 1990 and was licensed to carry on general insurance business by the Labuan Financial Services Authority on 22 August 2016.

Liberty Singapore is part of the Liberty Mutual Group Inc. (“LMG”). As a Fortune 100 company and one of the top five property and casualty insurers in the U.S., LMG (through its subsidiaries and affiliates) operates across five continents and employs almost 50,000 employees in approximately 800 offices throughout the world. For more information regarding LMG, please visit www.libertymutual.com.

For the financial period ending 31 December 2016, Liberty Singapore recorded gross written premiums of S$61 million across both the Singapore Insurance Fund and Offshore Insurance Fund.

Corporate Governance 

Liberty Singapore recognises the importance of proper corporate governance and abides by the various requirements and guidelines issued by the MAS. Under the guidance of the Board of Directors, the Chief Executive and management team are responsible for the implementation of Liberty Singapore’s business objectives and strategic initiatives. The Board, Chief Executive and Senior Management team are assisted by an Investment Management Committee (“IMC”) and a dedicated Legal, Risk & Governance function. 

The Board consists of three Directors, including an independent and non-executive Chairman and has ultimate responsibility for factors such as the risk management, financial performance and strategic direction of Liberty Singapore. All Directors have access to the resources and information necessary to discharge their obligations, including the ability to engage the IMC, Senior Management and the Legal, Risk & Governance team.

The IMC operates under a formal charter and in a manner consistent with Liberty Singapore’s conservative investment philosophy. Amongst other things, the IMC is responsible for monitoring Liberty Singapore’s assets to ensure compliance with MAS requirements and to match the maturity and liquidity of assets to expected liabilities arising from the company’s insurance operations.
Liberty Singapore operates according to clearly documented underwriting and claims authorities. These authorities are reviewed from time to time to ensure they meet the needs of the business and are consistent with the skills and experience of Liberty Singapore’s underwriting and claims staff.    

Risk Management 

For Liberty Singapore, “risk management” is the process of identifying, monitoring, controlling and reporting all internal and external sources of risk that could have a material impact on our business. This includes financial, non-financial, operational and regulatory risks.

Liberty Singapore has established a sound and comprehensive risk management framework and ultimate responsibility for risk management is vested in the Board. Liberty Singapore has: 

  • a clearly documented Risk Appetite Statement that sets out the company’s willingness to assume various levels of risk by reference to the key risks that arise in the operation of an insurance business; and
  • a Risk Management Strategy documenting how Liberty Singapore designs, implements, monitors, reviews and continually improves risk management throughout the organisation.

The Board of Liberty Singapore and the Senior Management team receive regular reporting from the Legal, Risk and Governance team to allow them to monitor the company’s compliance with its Risk Appetite and to ensure that the documented Risk Management Strategy is being implemented in an effective manner. 

Liberty Singapore also has a capital management plan to ensure that its financial position stays within a prescribed range. The company’s Capital Adequacy Ratio is reported to the MAS in accordance with regulatory requirements.