The Committee of European Banking Supervisors (CEBS) has published a consultation paper (CP) on its Guidelines on operational risk mitigation techniques.
The intent of the paper is to move forward with respect to the GL10 paper of April 2006, which provided only limited guidance on insurance contracts and Other Risk Transfer Mechanisms (ORTM) for transferring operational risk.
In particular, the topics addressed cover the issues of eligibility of protection providers, characteristics of eligible products and haircuts for uncertainty of coverage.
A public hearing will take place in the beginning of July 2009 at CEBS's premises in order to allow all interested parties to present their comments to CEBS.