Brexit – 5 key priorities for Insurers

It is still early days, but the recent Brexit vote presents us with uncertain times ahead. Below I have set out some practical ideas for insurers to consider while the dust settles. 1.  Impact of FX movements on business plans, balance sheets and internal models.  Whenever there is a significant FX swing, particularly between Sterling… Continue reading>

PPO Liabilities: modelling mortality risks

There are a lot of uncertainties inherent in the valuation and capital modelling of Periodical Payment Order (“PPO”) liabilities.  Not only is there no perfect hedge for the inflation indices applied to them, there is also very limited data upon which to base mortality models. While much has been written on the challenges presented by… Continue reading>

PRA Consultation Paper CP7/14

Solvency II: calculation of technical provisions and the use of internal models for general insurers This consultation paper was issued by the PRA in March 2014.  It is a short, accessible read and contains several helpful pointers to firms as they prepare for Solvency II.  The scope of the note is the set of general… Continue reading>