4.4 Legal risk - Scor

7.1 Brief description of the Group and of the position
of the issuer
7.1.1 GROUP OPERATING COMPANIES
The Group company which stock is listed on the Euronext Paris regulated market is SCOR SE, the group parent company.
The Group is a twin engine group driven by SCOR Global Life and SCOR Global P&C. Mobilization of skills and expertise, a
balance among teams from different entities of the Group, operating efficiency, simplicity of structures, and clarity of
reporting lines were the principles that guided the Group's organisational choices.
SCOR’s Non-life division reinsurance operations are conducted under the supervision and management of SCOR Global
P&C SE. The latter carries out its operations through European branches in Spain, Italy, Switzerland, the U.K. and
Germany, and a network of dedicated subsidiaries, branches and representative offices in the U.K., the Americas and Asia-
Pacific, as well as composite Non-Life/Life subsidiaries and branches in Russia, South Africa, China, Hong Kong and South
Korea.
The Life division operations are conducted primarily under the supervision and management of the SCOR Global Life SE.
The latter carries out its operations through branches in Germany, the U.K., Italy, Spain, Switzerland, Austria, Netherlands,
Sweden, Canada and in Asia, representative office in Belgium as well as through SCOR Global Life Americas in the U.S.,
SCOR Global Life Reinsurance Ireland as well as composite Non-Life/Life subsidiaries and branches in Russia, South
Africa, China and South Korea and subsidiaries in Europe, Australia and South Africa.
The corporate functions of SCOR Global Life SE, SCOR Global P&C SE and of the Group in Paris, in Zurich and in Cologne
(mainly) define the underwriting policies and monitor its standard application, control the changes in natural catastrophe risk
accumulation and control claims.
The Group’s subsidiaries, branches and offices are connected through a backbone network, applications and data exchange
platforms, which allow local access to centralized risk analysis, underwriting or pricing databases and also give access to
information on local market conditions, to be shared among the Group’s subsidiaries, branches and offices. In addition,
through regular exchanges of personnel between the Group’s head offices in Paris and its non-French subsidiaries and
branch offices, the Group encourages professional development and training of underwriters, actuaries, modellers, claims
experts and risk controlers across its various geographic markets and business lines.
On 29 October 2008, SCOR announced the creation of SCOR Global Investments SE, which is contemplated to manage,
directly or indirectly, the global investment portfolio of all the Group’s legal entities. SCOR Global Investments SE has been
approved by the AMF as a portfolio management company as from 15 May 2009. On 8 July 2011, the newly incorporated
subsidiary, SCOR Alternative Investments SA, was registered by the Commission de Surveillance du Secteur Financier
(CSSF) in Luxemburg as a company in charge of the management of the portfolio of assets specialized in the asset class,
known as “Insurance-Linked Securities” (ILS).. On 31 August 2011, SCOR launched Atropos SICAV-SIF (“Atropos”), ILS
fund dedicated to insurance risks, which is managed by its subsidiary SCOR Alternative Investments SA and domiciled in
Luxemburg. SCOR SE wholly owns its operating subsidiaries (excluding the shares held by Directors). SCOR SE also
makes loans to its subsidiaries and issues them guaranties so that they can underwrite under favorable conditions,
especially by letting them benefit from its financial ratings. SCOR SE provides support in actuarial, accounting, legal,
administrative, systems, internal audit, investment, and human resources to Group subsidiaries. Finally, SCOR SE acts, as
needed, as retrocessionaire for its two operational subsidiaries through quota share treaties renewed annually which form
the instrument for internal control within the Group through the annual allocation of capital to the operating subsidiaries
based on the profitability expected from their underwriting. The contracts that formalize the relationships between SCOR SE
and its subsidiaries are presented in:
• Section 19 – Related Party Transactions, and in
• Appendix A – 1.5 -- Unconsolidated Corporate Financial Statements of SCOR SE – Note 4: Transactions with
subsidiaries and affiliates.
7.1.1.1 The Group’s restructuring
SCOR launched and completed several major restructuring projects between 2005 and 2010. These reorganizations were
undertaken in order to simplify the legal structure of the Group and clearly differentiate between the operations of
subsidiaries that are dedicated respectively to Life reinsurance and Non-Life reinsurance, with a view towards optimal
annual allocation of capital between the operations.
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