Insurance (including general insurance and life insurance companies)

Solutions

Insurance

Actuarial services for insurance companies (including general insurance and life insurance companies)

For life and non-life insurance companies, the actuarial component of IFRS reporting requires a lot of effort and considerable experience with this type of work.

  • High-quality audit support, including the assessment of applied methodologies and the levels of technical provisions under IFRS and Local GAAP
  • Conducting independent audit reviews

Audit support

  • Actuarial support of M&A deals including valuations of sales targets and preparation of due diligence reports
  • Projection of liabilities and costs based on different scenarios of the company’s activity and actuarial assumptions
  • Support to both buyers and sellers
  • Post M&A-related services
     

Mergers and acquisitions

  • Analysis and/or development of applied reserving methodologies
  • Review/independent valuation of reserves required under IFRS and local regulatory requirements
  • Stochastic reserve modelling
  • Establishing and benchmarking various actuarial parameters applied for reserve estimation: loss ratios, claim handling cost ratios, survival rates etc.
  • Contract classification as Insurance or Investment under IFRS 4
  • Sensitivity analysis of liabilities to parameters which affect the liabilities estimates
  • Liability adequacy testing (LAT analysis)

Reserve assessment

  • Development of pricing models using a variety of pricing approaches, including General Linear Modelling, low frequency/high severity models to achieve the desired financial results
  • Benchmarking of pricing levels against the market

Tariff modelling and optimisation

  • New product development and optimisation of existing insurance portfolio
  • Product benchmarking: identifying the differences between your company and the market and indicating necessary steps for product modification to stay competitive
  • Profit testing of group and individual insurance LoBs

Development of new insurance products

  • Development and implementation of actuarial IT including solutions based on SunGard iWorks Prophet for life insurance companies
  • Implementation of specialised actuarial software for general insurance companies, which provides a comprehensive set of facilities required to carry out a full reserving analysis (CROS)

IT systems

  • Training courses for the company’s actuarial team in the areas of pricing and reserving based on best actuarial practices
  • Secondment of members of our team to work together with the company’s personnel
  • Seminars on hot topics such as IFRS, Solvency, local standards of CIS countries etc.

Strengthening the actuarial department

 
  • Embedded Value calculation and analysis
  • “Value of In-Force Business” calculations using market-consistent approaches

Embedded value calculation and review

 
  • Assessment, analysis and modelling of the risks surrounding the insurance company’s business

Risk and capital management

  • Development of an optimal reinsurance strategy aimed at minimising risks and maximising the effectiveness of capital use
  • Optimisation of existing reinsurance programmes

Reinsurance

  • Application of data mining and predictive modelling techniques for supporting strategic and/or tactical decisions
  • Developing or improving the actuarial control cycle
  • Targeting the best opportunities for future growth and profitability
  • Improving profitability through enhancements to key operational areas: risk selection process, pricing, claim handling process, underwriting process, policyholder retention

Strategy and operations

Key contacts

Evgeniya Lugovtsova

Evgeniya Lugovtsova

Senior Manager Actuary

Evgeniya works in Deloitte starting from 2010. She is a Senior Manager in Actuarial services group, Audit department of Deloitte CIS.  Evgeniya specializes in modelling and measuring the probability a... More