General insurance actuaries are playing a critical role in understanding an insurers performance, the underlying risks and how they are changing over time. We leverage our skill set to address the challenges in the general insurance industry to ensure success for our clients.
At QED we understand that the general insurance market is very competitive in pricing, product innovation and client services. In a market undergoing development, and forced to compete for both clients and talent, regulatory changes and developments in technology are important drivers just as they are in other facets of the insurance industry.
We offer comprehensive solutions and support to insurance companies to enable them to tackle the challenges they face and capitalise on the opportunities in the market. We offer the full range of actuarial services to our clients including those for actuarial control function, and support the development of clients’ actuarial skills.
Actuarial modelling of balance sheet and technical provisions
Valuation of technical provisions is an important input in understanding the performance of an insurer and its financial position. We employ both deterministic and probabilistic techniques in modelling liabilities, analyse exposure of liabilities to market sensitivities and build asset-liability management frameworks to inform investment strategy. QED supports clients in many jurisdictions with their regulatory returns and solvency assessments and we build stochastic models to analyse and optimise reinsurance structures.
Our services include:
Profitability analysis, product development and pricing
Underwriting performance is a key driver of any insurer’s success, and our profitability reviews provide insight for management, facilitating informed decision-making. The use of detailed claims and exposure data to calculate technical provisions means that the actuarial function is ideally placed to investigate and present trends in the underwriting results. Coupled with information on market intelligence, the analysis provided is the foundation of product development
We tailor our product development and pricing solutions to reflect the nature of the product, the availability of data and market forces.
Economic and regulatory capital modelling
The ability to assess capital needs today and to allocate and project capital requirements consistently with the business strategy, is key to the value creation process. At QED we have extensive experience with regulatory capital calculations across Africa and we support the development of economic capital models.
Actuarial Control Function
Since the introduction of SAM in July 2018, general insurance companies have appointed a Head of Actuarial Function that is providing assurance to the board of directors and senior management on the adequacy of the calculation of technical provisions, the capital requirements and other actuarial matters. This role requires advice to the insurer on a broader range of topics like current and future financial soundness, investment policy and actuarial soundness of products as well as product development and design.
QED has a team of qualified and experienced general insurance actuaries that are currently performing this role for many clients and can strike the balance between ensuring compliance and adding value through assisting the board with the development of the Actuarial Function.