Transform the function
Imagine a world where your organization’s actuaries can address ‘what-if’ questions and are empowered to provide proactive insights…Where the actuarial function is fully ingrained in your business... Where executives call on actuaries to answer burning questions — and get business-oriented, easy-to-visualize responses that inform strategic decision making.
Actuaries offer the insurance industry unique capabilities, but they are often put in silos and restricted to non-strategic tasks like compliance reporting and model maintenance. Yet, with the proper organizational design and tools, the actuarial function is capable of so much more.
Continuing in our Actuarial 20/20 series relating to the future actuarial function, in this point of view we consider the role of an effective operating model in the transformation of the actuarial function. Empowered by the right data, processes, and technology, actuaries can bring your business strategic insights – and in the process, expanding their skillsets, increasing the value of their future contributions.
When designing a future-state operating model
- Consider the function’s organization, people, systems, tools, processes and governance holistically, as each component has significant influence on the others
- Use an iterative design process to ensure that solutions fit together and are sustainable over the long term
- Be realistic about the fact that services and operations may need to be rationalized.
Actuarial 20/20: Transform the function considers what the key questions that a chief actuary and their stakeholders may need to consider to unlock the power of their actuarial operating model. It also provides guidance on how actuaries, can be move to offering higher value services by taking on roles as Catalysts and Strategists.