Exploring the level of realm disclosure for Indonesian insurance business using ISO 31000

Risk management disclosure (RMD) is the company’s responsibility to stakeholders, and corporate governance (CG) has emerged as a crucial factor in the realm of disclosure. The objective of the study is to examine the influence of corporate governance (CG) on risk management disclosure (RMD) in Indonesian insurance businesses, with control variables such as corporate size, profitability, debt, and liquidity. The parameters examined encompass the risk management committee (RMC), public ownership, institutional ownership, and managerial ownership of the ISO 31000:2018 standard RMD. This study utilized quantitative methods, collecting a total of 133 observations from 2013 to 2022. The regression results for the panel data show that CG has an impact on RMD. Although RMC greatly improves RMD, the positive ownership structure does not have a substantial effect. Increasing the proportion of RMC in the composition results in improved legibility of RMDs. This discovery suggests that the company should give greater importance to the RMC structure because it has been shown to have a substantial effect on RMD, which is a vital component of the company’s risk management for investors. The findings of this study present possibilities for firms to implement ISO 31000:2018, thereby enhancing the significance of globally standardized Risk Management Documents (RMD).