Guidance

1. An Authorised Person should take reasonable steps to:
a. allocate responsibility for the management of its Underwriting and sub-Underwriting business;
b. allocate adequate resources of the Authorised Person to monitor and control its Underwriting and sub-Underwriting business;
c. satisfy itself that its systems to monitor its Exposure to a Counterparty will calculate, revise and update its Underwriting Exposure to each Counterparty and its Capital Requirements;
d. satisfy itself of the suitability of each Person who performs functions for it in connection with the Authorised Person's Underwriting business, having regard to the Person's skill and experience; and
e. satisfy itself that its procedures and controls to monitor and manage its Underwriting business address the capacity of sub-underwriters to meet sub-Underwriting commitments.