RISK AGGREGATION IN NON-LIFE INSURANCE: STANDARD MODELS VS. INTERNAL MODELS

December 21, 2018

In the aftermath of the 2008 financial crisis, meeting the capital requirement became one of the central management tasks in the banking and insurance industries. Solvency II (SII) as the new regulatory standard for insurance companies in the European Union covers potential losses from the asset and liability side of an insurer by calculating solvency capital requirements (SCR) based on either a standard formula or an accredited internal risk model (EC, 2014). Other regulatory standards such as the U.S. risk-based capital (U.S. RBC), the Swiss Solvency Test (SST) or the Korean RBC (K-RBC) of interest in this study have recently been developed or revised (NAIC, 2013, 2017; FINMA, 2016; FSS, 2017).

Spotlight

Covera

The annual process of shopping for insurance is confusing and time consuming. It’s no wonder 80% of Canadians let their policies automatically renew. Covera is a simple solution that proactively re-shops on your behalf, leaving you confident that you have the best fit insurance coverage, year-after-year.

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Digital claims - how can insurers best reap the benefits of digital claims for customers?

whitePaper | December 12, 2022

Digital claims processing offers significant benefits for both insurers and their customers. Based on this assumption, Post and PayPal held a roundtable to explore how the sector can keep up the momentum, and discuss what might be considered as a best-in-class experience for an online claims journey.

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In-depth - Legal expenses insurance: A legal rollercoaster ride

whitePaper | June 30, 2022

The turmoil caused by pandemics and politics in the past two years has created an increasingly litigious landscape and served to highlight the value and benefi t of legal expenses to businesses, says Tim Evershed.

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The Value of an Extensive Vendor Network: Actionable Data and Digital Adoption

whitePaper | April 19, 2023

In this report, we discuss the value an extensive vendor network and comprehensive vendor payment management program provides, including how insurers can increase cost savings and improve vendor and adjuster experiences.

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whitePaper | June 16, 2022

Data has always been an important asset in the insurance industry, which is largely built on algorithms and financial models. Today, that is truer than ever before. Data can be analyzed to provide insurers with deeper business insights and the ability to target the right customers through the right channels with the right offerings in the right sequence. It also has opened the door to a growing group of digital natives and insurtechs that bring innovative ideas and solutions to help accelerate and improve the customer journey. Today, the advent of artificial intelligence (AI) is increasing the importance of data across the industry. AI is widely recognized for its potential to bring greater efficiency and innovation to the entire insurance value chain, from customer acquisition to claims processing, and for all stakeholders, including customers, agents and employees. However, effective AI depends on current, accurate and relevant data. AI is key to competitiveness, and data is key to AI.

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Digital Transformation Myths in Insurance

whitePaper | November 21, 2019

In recent years, the tech world has made a sizeable dent in the insurance world. The launch of technology based start ups, such as Wrisk, Brolly and Cuvva has made bare the fundamental fact that the insurance industry was not really synonymous with technological development. That is changing. Many insurers are now embracing digital transformation as their keystone strategy.

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Lawyers Professional Liability Insurance

whitePaper | December 2, 2019

Professional liability insurance can be an awkward topic for brokers, as it sometimes entails reminding accomplished professionals that they need protection from their mistakes. However, law firms understand the value of specialized expertise – especially when it comes to the coverage afforded by their own Lawyers Professional Liability Insurance.

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Spotlight

Covera

The annual process of shopping for insurance is confusing and time consuming. It’s no wonder 80% of Canadians let their policies automatically renew. Covera is a simple solution that proactively re-shops on your behalf, leaving you confident that you have the best fit insurance coverage, year-after-year.

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