Insurance compliance: when shared data becomes a lever for risk control

In the insurance sector, compliance involves business teams, the compliance function and internal audit. Each works with its own tools and frameworks, so information is still too often siloed. Breaking down these silos gives the company the means to better understand and control the risks it is exposed to.

A demanding regulatory framework for insurers and reinsurers

Being an insurer or reinsurer means operating in a dense and constantly evolving regulatory environment: anti-money laundering directives and the forthcoming single regulation (AMLR, GDPR, AI Act, DORA, Solvency II...

These texts have one thing in common: they require firms to document, keep an audit trail and be able to demonstrate compliance at any time, internally and externally, including before the regulator (FCA/PRA).

Business teams, compliance, internal audit: a shared responsibility

In most organisations, compliance is not handled by a single team. It involves several players at different levels:

• first-line business teams, legal counsel or underwriters;
• compliance;
• internal audit.

Each has its own timeline, its own frameworks and its own tools, or simply relies on a shared drive, Excel spreadsheets and email exchanges. Information ends up scattered and difficult to audit, which means it is too often underused.

Yet this same information would make it possible to better understand, and therefore better control, the risk to which the entity is exposed.

Breaking down data silos with a common platform

The solutions developed by Dylogy are designed precisely to break out of existing silos, and a familiar image is enough to understand how they work:

• the Dylogy platform works like a team folder at the root of a SharePoint site;
• the apps, including Analyzer, our AI contract analysis solution, are its subfolders, organised by contract, by client or by topic.

A team folder is only valuable if it is well organised, built in line with internal processes, and if the data it contains is reliable. In practice, it should make it possible to find the version history and the signed version of a contract, or the approvals and due diligence carried out at client onboarding.

The Dylogy platform organises this "folder", in other words this knowledge, so that everyone can then use it properly, whether they are legal counsel, compliance officer or internal auditor.

One set of data, analysed through each function's lens

Each function approaches the same data with its own analysis grid, in other words its own list of controls.

• Legal counsel check that a clause proposed by the other party does not conflict with their internal standard (their clause library), a reference standard or an international standard. They also assess whether the clause is favourable to the entity they represent.
• The compliance officer supports teams in applying procedures and identifies risks of non-compliance with internal procedures and the regulatory framework. For example, at client onboarding, they check that the information and documents collected on the client are complete and consistent with the anti-money laundering and counter-terrorist financing (AML/CFT) procedure.
• The internal auditor steps in after the fact, assessing over a defined scope and period the effectiveness of the arrangements put in place by business teams and compliance. For example, they check that the latest version of the group's new ethics clause is included in contracts concluded over the past 6 or 12 months.

Each function keeps its own analysis grid while working in a single tool and from a common knowledge base.

Case study: tracking the rollout of a new ethics clause

Consider a group that adopts a new ethics clause. Legal counsel add it to the clause library and check during negotiations that the wording proposed by counterparties does not depart from it. Compliance makes sure internal procedures have been updated and that teams are applying them. A few months later, the internal auditor checks that the latest version appears in the contracts concluded over the period.

When contracts, their successive versions and the related approvals are held in one place, this review no longer requires rebuilding the history from emails and scattered files. Everyone works from the same source, which helps surface any gaps earlier.

Compliance as a lever for risk control

Structured and shared across functions, data becomes usable: teams work from a common base, each according to its own criteria, and the entity has a precise, consolidated view of its risk exposure.

Would you like to see how Analyzer helps you analyse your documents by team and analysis grid?‍ Request a demo.

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