Actuarial services

Financial services businesses in Asia are facing an unprecedented pace of change created by the increasing impact of convergence, globalisation and new technology. Yet, we also recognise that many of the most fundamental questions in running a business remain the same; only the answers are changing.

We are a team of specialists with technical expertise in statistics and risk analysis. We have the ability to process, manipulate and analyse large volumes of data, and interpret and translate the results into findings and conclusions that are more accessible to our clients. In order to drive maximum value for our clients, we invest significantly in; this results in an IT infrastructure that leverage when providing services to our clients.

With our analytical capabilities, we can provide you with the critical information and insights that you need to develop successful and competitive strategies, and enhance shareholder wealth.

Our team

Across the globe we have over 1,000 actuarial specialists, of which about 200 of them are located in the Asia Pacific region including Beijing, Shanghai, Shenzhen, Hong Kong, Taiwan, Singapore, Thailand and Indonesia. Our specialists have extensive experience in the industry with accredited professional qualifications, extended expertise and knowledge of both local and global regulatory requirements, and insights into emerging market developments.

Our actuarial specialists work closely with our PwC consulting, risk management and audit professionals, and leverage on PwC’s global network to provide holistic advisory services to many financial institutions, such as insurers, banks, retirement and health organisations, and asset management funds.

Actuarial services in Asia

  • Life actuarial cash flow modelling reviews under all major software solutions
  • GI actuarial reserve modelling
  • Insurance company appraisal value modelling
  • Dynamic hedging strategy modelling for complex insurance projects such as participating products and variable annuity products
  • Financial asset and derivative valuation modelling
  • Complex risk distribution modelling including interest rate risk, credit risk, equity risk, property risk, currency risk, mortality risk, longevity risk, morbidity risk, surrender risk.
  • Stochastic modelling
  • Identifying data quality and the pros and cons of the work flow of the enterprise
  • Enterprise positioning and competitor analysis
  • Product pricing, customer stratification, and customer behaviour analysis by statistical model
  • Establishing potential target for channels and marketing, underwriting, and claim department by forecasting model
  • Review of financial and regulatory reserves
  • Review of internal processes and controls
  • Validation of assumptions, methodology and results
  • Employment benefit plan services such as valuation of, and reporting on, solvency and capital adequacy
  • Independent assessment of outstanding claims reserves, prudential margins and IBNR provisions
  • Market and customer segmentation for pricing and underwriting
  • Analysing and pricing motor insurance using a variety of methods, including generalised linear modelling and predictive analytics
  •  Price, and business mix, monitoring to support with designing and amending business strategies to increase competitiveness in market
  • Development of an enterprise risk management framework
  • Assisting with risk identification, modelling, and analysis
  • Establishing risk-based performance targets and KPIs
  • Assisting in developing risk strategy and processes; identifying risk preference and tolerance
  • Governance and risk reporting at an enterprise-level
  • Reinsurance optimisation
  • Minimum capital requirements for life, non-life and health insurers; dynamic solvency testing and modelling
  • Assisting in economic capital analysis
  • Assisting insurance companies in designing control processes and documentation for the compliance capital frameworks such as risk-based capital in Hong Kong, C-ROSS in China, and Solvency II.
  • Assisting with new capital regimes implementations, such as RBC in Hong Kong, Singapore or C-ROSS implementation in China and impact evaluation
  • Reviewing internal model and providing modelling solutions
  • Performing operational gap assessments and financial impact analyses
  • Defining methodology papers and accounting policies
  • Developing business and functional requirements to implement the new standards
  • Assisting in defining and implementing new actuarial operating models, including systems, data management and process
  • Modelling IFRS 17 liability components
  • Assisting in IFRS 17 transitions and profit analysis
  • Construction of detailed income statements under IFRS 17
  • Understanding areas where treatment under IFRS 17 and IFRS 9 should be consistent to avoid accounting mismatches
  • Analysing impact of new standard on profit and loss
  • Analysing impact of changes to classification and measurement of financial assets
  • Helping to understand and form new disclosures, as these are significantly different under IFRS 9

 

  • Local knowledge of the workings of the industry in particular countries, including close relationships with regulators, and detailed understanding of the specific regulatory requirements and hurdles
  • Product development including design and customisation to meet local demands
  • Business planning including profit testing, capital and strategy evaluation
  • Competitors analysis including market and channel analysis
  • Identifying suitable acquisition targets and delivering SWOT analysis of targets
  • Assessing shareholder value of restructuring strategies
  • Due diligence appraisals including detailed evaluation on reserves, solvency, embedded value, and financial projections
  • Expert advice on merger negotiation, execution and integration
  • IPO supporting services

Contact us

Maurizio Busti

Actuarial Leader, PwC Hong Kong

Tel: +[852] 2289 1166

Chris Hancorn

Partner, PwC Hong Kong

Tel: +[852] 2289 1177

Follow us