What gives a second rate, part time blogger the right to offer advice to an otherwise far more successful corpration?
In first life, I work for a medium sized financial organisation, I am one of those that enforces separation of duties. I know (a lot of) how we fight fraud.
I hear that Red Frog lost 45B in isk and ships from their insurance plan, from a director level theft.
First of all, that hurts. However, I don't see terrible things happening out of it; they will recover.
What I don't know is whether 45B was a small part of their insurance fund, or the entirety of it.
I read that it was a director that went rogue. What are Red Frog doing with directors for insurance corporations? A very bizarre decision.
Trust is a necessary evil of doing business. You want as little to do with it as possible. You want a single defection to not destroy your entire assets.
How I would set up such an insurance scheme is with (at least) 2 insurance corporations, and other players with divisional wallets.
The CEO's of each insurance corporation should be different real life people, of long term standing, with as much proof of that as possible. A player of the standing of chribba (the real one and not fakes) is the type of player you want.
Each insurance corporation has an approximately equal share of the insurance fund.
Some of the items in the insurance fund will be locked down by vote items; maybe capital or titan BPO's that are undergoing research, or maybe simply copying.
One of the corporations should have a working 'division', holding a small reserve and maybe a few ships. Multiple real life players may have access to this account.
Member insurance payments should be deposited into an account (or corporate division) that has nothing to do with insurance claims.
All other assets (ISK, maybe plex, ships) should be stored across all available divisions, where one player (plus CEO of necessity) has access. These divisions should represent players from different timezones so that they are available as quickly as possible.
There would be an 'insurance board', of many players, each with access to at most a working division plus one of the reserve divisions.
If a CEO goes rogue; you will lose that corporations items, less any asset locked down by vote. This will be at most 1/2 of your assets, and should be less (due to locking items down).
If a single member of the 'insurance board' goes rogue, you lose your working account and 1/14th (2 corps, 7 divisions) of the reserve accounts/ships. Lets assume that the Red Frog insurance corp lost everything. A 45 B loss deserves to make a post on themittani.com. However a 4B from a relatively new insurance officer would hardly rate a mention.