Finance and Treasury

Actuarial Concepts for Insurance Professionals

Non actuarial staff are asked to accept reserving and pricing figures they cannot interrogate, which leaves the actuarial function either unchallenged or dismissed, and neither serves the business. This course makes the numbers discussable. Delegates work through the time value of money and discounting as they apply to insurance liabilities, then through the concept of a reserve and what it represents. Claims development is covered practically, including reading a triangle and understanding why an immature year is uncertain. Reserving methods are addressed at the level needed to question an assumption rather than reproduce a calculation. Pricing is covered, including expected loss cost, expenses, margin and how a rate is built. Mortality and morbidity assumptions are addressed for life and health business. Experience analysis and the difference between actual and expected follow. Capital and solvency concepts are covered. The course closes on working with actuaries and on the questions worth asking about any figure.