LIFE AND ANNUITY

Overview

Our life actuaries have provided consulting across numerous facets of the life insurance industry for more than 30 years. We have provided life and annuity actuarial analysis and oversight, risk management, and analytics for insurance companies, reinsurance companies, and international consulting firms.  Our experience includes:

  • Statutory Accounting and Reserving Principles and Practices
  • Experience Studies – Mortality and Lapse Rate development and Monitoring
  • Pricing for Structured Settlements
  • Strategic Asset Allocation
  • Asset and Liability Modeling
  • Asset Adequacy Analysis and Cash Flow Testing Model Development
  • Pricing of Life Insurance Products – Whole Life, Universal Life, Term and Annuities, Including Lapse Supported Products
  • Experience Projecting Life Expectancies on Life Settlement Policies
  • Policy Valuation Systems and Processes – Reconciliation of Reserve Data  
  • Assistance with Life Insurance Company Examinations on behalf of State Regulators.
  • Actuarial Modeling – Conversions, Development, Standardization, Training, Peer Review
  • Model Governance – Design and Implement Governance Frameworks

Actuarial Model Development

Our consultants have considerable experience with Prophet© modeling software. We have performed pricing, reserving, asset adequacy analyses and company valuations for mergers and acquisitions using Prophet© Software.   We have experience in setting up GAAP/DAC and Embedded Value models for insurers both in the U.S. and internationally.  We have familiarity with Asset liability modeling in Prophet© using ALS, U.S. Liability, Health, GAAP, and International libraries.

Model Governance

We have experience setting up governance frameworks around open code modeling environments. We can help customize a governance framework for an organization around existing management structures and internal systems.  Our Model Governance experience includes:

  • Model change control process flows
  • Model coding standards
  • Peer review processes
  • Model validation worksheets and dashboards
  • Presentation and documentation templates       
  • Management approval processes for model changes
  • Internal systems to track model changes
  • Network set up for Test, Stage and Production environments
  • Rules with respect to separation of duties
  • Model Audit Rule requirements

Reserve Experience

Our consultants have considerable experience with statutory accounting for life and annuity products. We have performed extensive reserve testing in accordance with the NAIC Standard Valuation Law and are up to date with current practices, including the coming implementation of statutory Principle-Based Reserves.   

We have experience reviewing reinsurance treaties negotiated with carriers, analyzing experience studies supporting reserve development and asset adequacy, and reviewing methodology of carriers supporting their XXX and AXXX reserves. Our consultants have built independent validation XXX and AXXX models to independently review the accuracy of such reserves ceded.  We also have experience auditing reserves on reinsurance liabilities, including XXX and AXXX.

Financial Examination Experience

Our life actuaries have provided actuarial assistance to state insurance departments in the examination of insurance companies. They use their experience pricing risk, examining mortality and longevity risk, cash flow testing, and experience studies, and operational risk to provide in-depth examinations of these companies.  Our consultants have completed the NAIC’s “Risk-Focused Examinations: The Role of an Examining Actuary” training course and Webinar.

Our Team