4.4 Legal risk - Scor

studies and publications produced or supported by SCOR, as well as all of the resources that SCOR wishes to reference for
all those interested in risk. The Global Risk Center deals with all disciplines concerned by risk (mathematics, actuarial,
physics, chemistry, geophysics, climatology, sociology, law, economics, finance, etc.).
11.2 Information technologies
SCOR was one of the first reinsurers to implement a uniform international information system. This policy has historically
been reaffirmed during the integration periods following acquisitions, when the Group has aimed to rapidly return to a global
international information system, and when launching new projects. In the accounting, consolidation and financial reporting
domain, SCOR has delivered its global SAP solution, with a unique chart of accounts and standard processes, in most of its
hubs throughout the Group. All accounting teams have been mobilized over the two last years, along with IT, to build this
new global system at high stakes for SCOR.
The Group’s reinsurance back-office system operates on a custom software package known as “Omega.” Omega was
designed to allow the tracking of clients and policyholders within the Group, grant online underwriting authorization
throughout the world, track claims, analyze the technical profitability of contracts, and perform quarterly closings based on
the latest estimated results. The Omega database reflects the current organization of SCOR Global P&C and SCOR Global
Life worldwide reinsurance risk portfolios. After an extensive study in July 2010, the Group decided to update and improve
Omega, thereby capitalizing on its existing strength. The project, which mixes technical modernization and development of
functional evolutions, has now been launched and is expect to be completed in 2014.
The focus in 2012 was again on strengthening SCOR’s front office applications to improve risk selection, anticipation and
reactivity in markets and products, and simulations of results. A number of projects have been commenced in recent years
which will continue through 2013. Accounting forecasts are developed from underwriting plans and comparative analysis is
produced in standard reports. New reserving and financial modeling tools have been implemented over the last years. Non-
Life pricing is closely managed using xAct, the new in-house standard pricing tool, which uses standardized models, and
profitability analysis, then providing full visibility into proportional and non-proportional business. Control of exposure to
natural catastrophes has again been improved by implementing the second version of the Cat Platform developed with
RMS to monitor all liabilities and accumulations, including integration of market solutions. In the Life business, the
embedded value calculation has been revised and integrated with the internal model. Other front-office solutions have been
developed for SCOR Global Life for harmonizing and reinforcing substandard risks underwriting and tele-underwriting in
different countries. Thanks to the acquisition of Transamerica Re, new underwriting solutions are proposed to SCOR's Life
clients in America
The Group continues to work on extending and automating its Asset and Liability Management tool. After the
implementation of the Non-Life module, the Life risks modeling module was developed during the last two years. This
internal model will be central in the Solvency II compliance process, in which the information technology group, SCOR IT, is
deeply involved.
During the last three years, SCOR also launched a number of projects related to asset management, including the
implementation of the SimCorp Dimension market software package, and the deployment of the Cadis market solution for
data control and integrity. All investment portfolios of the Group have been centralized in SimCorp Dimension. This same
Dimension solution has largely been deployed for front and middle office investment functions.
The Group is promoting a paperless environment. Internally, global document-sharing processes have been set up for the
Life and Non-Life divisions. With its clients, SCOR is able to automatically process claims, reinsurance and financial
accounts received electronically in the standard formats edited by ACORD, an association created for the development of e-
processing in insurance and reinsurance, without having to re-input them. The Group is also a founder member of the
Ruschlikon Initiative, launched with the major brokers and reinsurers to develop e-administration in the reinsurance
industry.
The SCOR technical environment is based on a secured international network, a consolidated global data center based on
a fully replicated outsourced dual site, and a standard workplace deployed everywhere in the world. SCOR has also
implemented an ambitious security plan based on stronger physical and logical access controls, data protection, and
recovery in the event of any type of disaster.
SCOR IT is playing a key role in implementing the Group’s “Green SCOR” policy, and drives a number of elements of this
multi-year plan, including data center consolidation, server virtualization, new low-energy desktops and laptops, and
reduction in printing. Mobility has again been improved in line with the last standard PC deployment. It is still being
enhanced through ongoing developments in line with technological and business needs evolutions, requiring a more
permanent connection with the company, and compliance with security standards.
Finally, the Group’s IT strategy is aligned with its growth objectives. The mandate of SCOR IT under SMV1.1 is to complete
the e-transformation of SCOR leading to competitive edge. In line with its goal of global tools, SCOR’s ambition is to
implement a comprehensive real time system in full alignment with already identified or new business requirements. SCOR
intends to capitalize on its existing strengths, and launch new initiatives in the front-end and back-end areas to ensure
operational excellence and development.
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