The Australian Prudential Regulation Authority held a risk governance roundtable last month with the Insurance Council of Australia.

APRA says the meeting allowed the regulator to speak directly with the industry and explain why it places so much emphasis on effective risk governance in its supervision activities.

Chair John Lonsdale encouraged executives and directors to elevate risk governance and to foster more self-reflection when mistakes occur, to ensure root causes are effectively addressed.

“APRA appreciated hearing the industry’s experiences, challenges and priorities, including the cumulative effect of regulatory change across a wide range of areas, perspectives on the importance of proportionality in regulation, and the impact of responding to data requests from numerous sources,” the authority said.

The regulator and ICA also discussed the importance of improving transparency from insurers, and the industry flagged the need for continual collaboration between government agencies.