The Role of External Auditing in Improving the Efficiency of Risk Evaluation and Management in Sudanese Insurance Firms

Abstract

The study addressed the role of external audit in assessing and managing risks in Sudanese insurance companies during the year 2025. The study aimed to identify the contribution of external audit in identifying, assessing, and managing the risks faced by insurance companies. The study adopted the descriptive analytical approach. Data were collected using a questionnaire distributed to a random sample of 60 individuals from insurance companies, achieving a 100% response rate. Data were analyzed using the SPSS program. The results showed that following external audit procedures contributes to identifying risks, that external audit relies on official and unofficial documents in risk assessment, and that it contributes to taking preventive measures to reduce the likelihood of risk occurrence. The study accepted the three hypotheses: that external audit contributes to identifying, assessing, and managing risks. The study recommended the necessity of a regulatory system to evaluate company performance and reduce risks, the importance of qualifying the external auditor, and the need for the external auditor to pay attention to continuous auditing to reduce the likelihood of fraud or forgery.