EXHIBIT 99.5
PartnerRe Ltd
FINANCE COMMITTEE CHARTER
COMMITTEE MISSION STATEMENT
The Finance Committee has been established to oversee all aspects of the company’s risk identification and management and balance sheet management. In this regard, the Committee will have oversight responsibility for company policies and activities related to (i) overall management of the company’s risks pursuant to the business strategy and risk guidelines; (ii) capital structure, reserving and catastrophe exposure and (iii) investment of the company’s assets
COMMITTEE COMPOSITION
The Finance Committee will comprise four members of the Board of Directors and will report to the full Board of Directors on the Finance Committee activities. The CFO will attend all meetings of the Committee, which will meet quarterly, in concert with regularly scheduled Board of Directors meetings.
COMMITTEE RESPONSIBILITIES
The Finance Committee will determine, the risk parameters to be agreed by the Board, which will then influence the capital structuring, the reserving policy, the investment strategy and certain underwriting issues. It will specifically perform the following duties:
Capital Issues
- Approve and recommend to the full Board the annual capital plan
- Approve and recommend to the full Board any new equity or debt issuances or share repurchase programs
- Approve and recommend to the full Board dividend policy changes
- Approve capital expenditure plans
- Monitor capital adequacy of the Group as a whole
- Approve movement of capital between subsidiaries over a level of USD $100 million
- Review and monitor capital allocation and return structure and philosophy
Investment Issues
- Review and recommend to the Board Asset Allocation Policy and Guidelines and any changes thereto
- Approve Annual Investment Plan
- Approve the manner of fund management including the management of funds in-house or by external managers
- Review investment performance against benchmarks
Reserving Process
- Review and recommend to the Board for approval reserving policy and philosophy
- Monitor accumulation or risk (PML) in reserve and asset portfolios and co-variance between the two portfolios
Underwriting Issues
- Monitor and approve maximum exposure limits per event in the catastrophe book of business
- Approve retrocession plan
COMMITTEE PROCEDURES
The Finance Committee will have a Chairperson and a Secretary.
- The Chairperson will:
- Conduct all Finance Committee meetings.
- Ensure all matters before the Finance Committee are addressed and adequately resolved.
- Report to the full Board of Directors on Finance Committee activities, findings and recommendations.
- Conduct all Finance Committee meetings.
- The Secretary will:
- Prepare and circulate Finance Committee agendas.
- Prepare and circulate minutes of Finance Committee meetings.
- Prepare and circulate Finance Committee agendas.
- Resources to the Committee will be the CFO and the operating heads of the major business units.
The Finance Committee will report to the Board of Directors on, including but not limited to, the above items, with the primary focus being on policy and strategic matters seeking from the full Board approval for initiatives where necessary.
The Committee will keep the full Board apprised of policy matters in an open and informative manner.
Effective May 21, 2001