P/C Effective Loss Reserve Opinion Seminar: Tools for the Appointed Actuary

Nov. 7 & 8, 2012
Hilton Baltimore BWI
 


Day 1: Wednesday, Nov. 7, 2012     MORNING SESSIONS



7:30 – 8:15 A.M.        CONTINENTAL BREAKFAST
8:15 – 8:20 A.M.        INTRODUCTION (NICOLE ELLIOTT)
8:20 – 9:00 A.M.        SESSION 1: QUALIFICATIONS AND RESOURCES (ALEJANDRA NOLIBOS)
 
  • Qualification Standards for signing opinions
  • Am I qualified?: Case studies
  • Special circumstances: change in appointed actuary
  • Executing the work with skill and care
  • Resources
9:00 – 10:30 A.M.      SESSION 2: ASOP NOS. 36, 43, AND MORE (LISA SLOTZNICK)
 
  • Applications for Actuarial Standards of Practice
  • Background
  • Topics in more than one ASOP
    • Dates
    • Disclosures around making use of the work of others
    • Discounting disclosures
  • Performing our work with consideration of ASOPs
10:30 – 10:45 A.M.   BREAK
10:45  – 12:05 P.M.  SESSION 3: SPECIAL TOPICS BREAKOUT SESSIONS (MARY D. MILLER WITH CHAP COOK, PAT TEUFEL, AND LISA SLOTZNICK)
Presentation
  • Covers general topics that must be addressed in all opinions
  • Includes general reinsurance & collectability, IRIS ratios, changes in methods and assumptions, materiality, and other disclosures
  • Recommended principles on how to disclose relevant comments
Break-out sessions
  • Choose 2 of 4 topics
  • Break out into small groups to discuss
  • Topics: Pooling, Retro/Financial Reinsurance, Extended Reporting/DDR, Premium Reserves
12:05 – 1:05 P.M.      LUNCH

 


Day 1: Wednesday, Nov. 7, 2012     AFTERNOON SESSIONS


1:05 – 2:35 P.M. SESSION 4: SIGNIFICANT RISK OF MATERIAL ADVERSE
                      DEVIATION (PAUL STRUZZIERI)
 
  • Asessment & disclosure
  • What is a “significant risk?”
  • Sources of risk and risk assessment
  • Materiality considerations
  • Sample wordings
2:35 2:50 P.M. BREAK
2:50 – 4:20 P.M. SESSION 5: OPINION WORKSHOP (JON MICHELSON, NICOLE ELLIOTT)
  • Several specific opinion-related topics and detailed scenarios are presented
  • Interaction in small groups to discuss the scenarios and identify relevant issues
  • Collaboration to discuss possible courses of action and to draft opinion language
  • Whole group discussion and review
4:20 – 4:25 P.M. WRAP UP (NICOLE ELLIOTT)

 


Day 2: Thursday, Nov. 8, 2012       MORNING SESSIONS


7:30 – 8:00 A.M.        CONTINENTAL BREAKFAST
8:00 – 8:05 A.M.        INTRODUCTION & BRIEF RECAP FROM DAY 1 (NICOLE ELLIOTT)
8:05 – 9:15 A.M.        SESSION 6: REGULATORY PERSPECTIVE (NICOLE ELLIOTT)
 
  • Regulators and how they use opinions
  • Who signs opinions
  • Regulator expectations including the NAIC Regulatory Guidance
  • Interesting opinion and summary statistics
  • Changes to the 2011 and 2012 NAIC Instructions
  • NAIC Risk Focused Exams
9:15 – 10:45 A.M.      SESSION 7: DATA, DOCUMENTATION, AND REPORT-WRITING/REPORT WORKSHOP (PAT TEUFEL)
  Presentation
  • Resources for Data & Documentation
  • ASOP Nos. 41 and 43 and Opinion Instructions - responsibilities and disclosures
  • Insights and considerations for an effective actuarial report
Workshop
  • Reading period for sample report
  • Discussion of issues with the sample report
  • Discussion regarding what could make the sample report better
10:45 A.M. – 11:00 A.M.            BREAK
11:00 A.M. 12:15 P.M.            SESSION 8: RESERVE RANGES (JUSTIN BRENDEN)
 
  • Purpose and use of ranges
  • What is a range?
  • What is reasonable?
  • Relevant guidance
  • Communicating what we mean
12:15 P.M. – 1:15 P.M. LUNCH

 


Day 2: Thursday, Nov. 8, 2012     AFTERNOON SESSIONS


1:15 – 2:30 P.M. SESSION 9: PANEL (CHAP COOK, RON SWANSTROM, PAT TEUFEL)
An interactive, participant-driven discussion about any topics of interest.  Some suggested topics are:
  • Unreasonable opinions (qualified, inadequate, excessive, no opinion)
  • Telling a client you have changed your assessment since last year
  • Strategies and responsibilities for delivering messages to management and boards
  • Adjustments for changes in operations
  • Reinsurance problems
  • The new Appointed Actuary and the prior actuary
  • Retracting/reissuing an opinion
2:30 P.M. – 2:45P.M. BREAK
2:45 P.M. – 4:00 P.M. SESSION 10: SAO CHALLENGE (JON MICHELSON)
  Questions, Answers, and Discussions on materials covered in earlier sessions, including:
  • Actuarial Standards of Practice
  • NAIC Instructions and NAIC Accounting Rules
  • Best practices
4:00 P.M. – 4:05 P.M. WRAP UP (NICOLE ELLIOTT)