Not all issues identified in an assessment merit further action – this depends on their magnitude and their probability of crystallising – and firms have an opportunity to both correct factual errors in a risk assessment and suggest alternative mitigation actions.
Looking back over more than a year’s operation of PRISM for insurance companies, it’s clear that we are still some way from fully embedding our new approach and further refinements and fine tuning should take place. But, I’m pleased that the framework is delivering in three critical respects.