Actuarial and Risk Modelling for Insurance
The two basic types of models used in actuarial modelling are deterministic models and stochastic models. Deterministic models are the simpler of the two. They both use estimates of probabilities for each event, and they predict the number of events that will actually happen based on these estimates. Stochastic models allow for more randomness, but they require more computational power.
Finalyse combines a technological perspective with a practical approach to actuarial and risk modelling, helping insurers manage this balancing act along each step of the process.
How does Finalyse address your challenges?
Model controls and processes:
Review current control environment, governance and documentation, model issues and incident management and formal change control process
ESG validation:
Review the asset models appropriateness, verify the appropriateness of the ESG calibration process, verify the appropriateness of the ESG outputs and produce sensitivity analysis
Tools we use:
VBA for Excel, SQL, R, Python, SAS, Power of BI, Machine Learning, Prophet modelling and coding, ResQ, Moody Analytics RiskIntegrity IFRS17 modelling, SAS for IFRS17
Actuarial modelling and pricing:
Review, enhance and produce models for both actuarial reserving and actuarial pricing using the latest sophisticated techniques such as machine learning for pricing
Partnerships:
We have a long and successful partnership with SAS and Moody’s in implementation projects including IFRS17 and IFRS9
IFRS17 Actuarial Modelling experience:
IFRS17 implementation, testing, configuration and testing, Pre-defined use cases, Pre-defined validation policy and process and CSM Prototype
How does it work in practice?
Finalyse’s actuarial and risk modelling cycle:
Examples of Our Software Integration Modelling Partnerships:
Key Features
- Given the ever-increasing regulatory scrutiny in the context of the Solvency II European framework, we ensure that the internal models/actuarial models respect the fundamental guiding principles and accepted market practices.
- Finalyse provides solutions tailored to your modelling methodologies and business requirements.
- We carry out the following types of model reviews: structural review, high level reasonableness review, test results, limited review of key areas, logical accuracy review, technical review, model points testing and independent replication of model.
Our subject matter experts
Francis is a Principal Consultant in charge of our Insurance practice in Dublin. He has 15 years of experience within the life and non-life (re)insurance industry as an actuary. His expertise covers the areas of financial reporting, prudential regulation and actuarial modelling. Francis has worked in both industry and consulting with extensive exposure to domestic and international clients and a keen eye on new regulatory developments.
Bence is a senior actuary with 20+ years of experience in life actuarial science and reporting in Solvency II, IFRS, BMA EBS and ICS regulations. His focus has been on actuarial and risk modelling - including capital projections, market risk management and internal model validation – and ERM framework design. Bence delivers business transformation, reinsurance, new authorisation and M&A projects and is keen on applying machine learning and data analytics for actuarial use cases.
Divyank is a Senior consultant in Finalyse risk advisory insurance practice with more than 7 years of experience. He comes with expertise in Solvency II, IFRS17 and MCEV. His technical expertise covers various tools such as Prophet and DCS, R, VBA. He has acquired considerable experience for modelling in Prophet, DCS and statutory valuation.
Jayadevan is a qualified Life Actuary with expertise in actuarial modelling, reporting and insurance regulation. He has gained significant Actuarial risk modelling experience through AXIS & SQL model migration projects, setting up valuation models in AXIS and cashflow testing in Prophet. Jayadevan has also worked in a risk manager capacity where he has developed recovery planning documents and is well versed with the guidelines and regulations for recovery planning.