Risk Management Overview

At Unum, as an insurer, we are in the business of risk management. Risk management is essential to our ability to meet our commitments and maintain and grow our businesses. As a result, we have a formal structure in place to oversee risk as it relates to each aspect of our company.

The Executive Risk Management Committee manages the overall risk profile, aiming for a balance between growth objectives, risk and capital. The Chief Risk Officer, who is a member of the Executive Risk Management Committee, has primary responsibility for Unum's risk management and is supported by the risk committees of the three operating segments that comprise Unum Group: Unum US, Unum UK and Colonial Life, as well as a Corporate Risk Committee.

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On a daily basis, our operations face three distinct sources of risk: operational risk, insurance risk and investment risk.

Operational risk primarily relates to how we operate our business and includes risks related to our reputation, regulatory standing, and litigation activity. Insurance risk includes morbidity, mortality and longevity risks. Investment risk is essentially the risk associated with how we manage and invest our portfolio to meet our obligations to our customers and claimants. These three risks encompass all aspects of our business, making risk management a part of every employee’s responsibility.

Learn more about our risk factors.

Though risk varies across job functions, our individual and collective actions limit overall risk to the enterprise. Our efforts are supported by our risk committee infrastructure which enables communication and facilitates the development and implementation of timely risk management strategies.

We are committed to meeting the on-going needs of our customers. As a result, we monitor emerging risks, adjust our strategies as appropriate and hold capital to ensure financial flexibility.

Learn more about risk management at Unum