Actuarial services in Asia

Summary of services

Actuarial software modelling
  • Modelling and projections including implied volatility calibration under C-ROSS, Solvency II(QIS 5), and MCEV
  • Embedded options and derivative pricing
  • Risk management modelling via calculation of VAR, CTE and Greeks

Audit support and IBNR related services
  • Financial and regulatory reserves review
  • Process review and results validation
  • Solvency and adequacy evaluation on employee benefit plan; suggesting adequate contribution of employee benefit plan
  • Actuarial report on employee benefit plan
  • Outstanding claims, prudential margins and IBNR provisions
  • Developing IBNR-based performance target

Auto insurance underwriting, pricing, and modelling
  • Market and customer segmentation for pricing and underwriting
  • Analysing and pricing auto insurance by GLM (general linear model)
  • Assisting in adjusting premium quarterly by pricing platform and benchmarking premium and rate by market/competitors analysis timely
  • Designing performance target to enhance service quality, internal control, and risk management

Capital adequacy, capital management, and Solvency II
  • Minimum capital requirements for life, non-life and health insurers; dynamic solvency testing review and modelling
  • Assisting in economic capital development
  • Solvency II implementation; QIS 5 testing and internal models review
  • Assisting insurance companies in designing control processes and documentation for the compliance of Solvency II

China Risk Oriented Solvency System (C-ROSS)
  • C-ROSS implementation and impact evaluation
  • Reviewing internal model and providing modelling solutions (Prophet, MoSes, AXIS)

Data mining and variance analysis
  • 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 behavior analysis by statistical model
  • Establishing potential target for channels and marketing, underwriting, and claim department by forecasting model

Enterprise risk management
  • Risk identification, modelling, and analysis
  • Establishing risk-based performance targets and KRI
  • Assisting in developing risk strategy and processes; identifying risk preference and tolerance
  • Governance and risk report at enterprise-level

IFRS conversion
  • Modelling IFRS reserve for existing business, or converting IFRS reserve from local reserve
  • Assisting in IFRS profit analysis
  • Providing suggestions to achieve best IFRS practice

Market entry and business planning
  • Local knowledge of the working of the industry in particular countries including the specific requirements of customers and regulators
  • 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

Merger & acquisition including due diligence and IPO support
  • Identifying suitable acquisition targets and SWOT analysis of targets
  • Assessing shareholder value of restructuring strategies
  • Due diligence appraisal including detailed evaluation on reserves, solvency, embedded value, and financial projection
  • Expert advice on merger negotiation, execution and integration
  • IPO supporting services