Case study Integrating with Internal Teams Case Study

Liase with the valuation team to collect required information about the block being converted, including:

• Legacy reporting processes and the block’s complexities
• Legacy model inforce extracts, product features, assumption mapping, and tables
• Legacy seriatim and non-seriatim reserves and projections for reconciliation

Review AXIS model and reporting configurations proposed by wider conversion team, including:

• Inforce extract format and structure
• Existing AXIS and DataLink configurations
• EnterpriseLink usage
• Format and granularity of model output

Develop optimal design for AXIS model, including:

• Providing input on all aspects of wider actuarial system/reporting design framework
• Deciding on optimal AXIS model configuration in conjunction with wider conversion team

Implement processes and activities to manage resources and project flow, including: 

• Assessing the skill level of internal actuarial resources provided (all actuarial interns)
• Determining resources and roles within the wider conversion project to ensure efficiency and avoid duplication of work effort
• Developing a detailed project plan and project communication protocols

AXIS model development:

• Work with IT to develop method for extracting assumptions and assumption tables from legacy systems
• Lead junior resources in all aspects of DataLink and model development
• Develop customized AXIS reports for reconciliation, analysis, and reporting
• Co-develop AXIS enhancements with Moody’s to address unique characteristics of the block
• Develop model controls to ensure accuracy of all AXIS models

Junior resource development:

• Provide group and one-on-one training to staff on general actuarial and reinsurance knowledge, as well as technical software training
• Provide mentorship and advice on career development
• Assist junior staff in networking with client’s full-time actuarial team

Reconcile all bases:

• Develop seriatim reserve reconciliation where legacy seriatim results are available
• Develop higher-level cash flow and reserve reconciliation for all bases
• Develop detailed walk from legacy reported results to post-conversion AXIS results for all bases

Communicate results to stakeholders:

• Develop and deliver presentations to stakeholders, including the valuation team, senior management, and retrocession partners, customizing each presentation to communicate targeted results and appropriate level of detail
• Address questions from auditors to achieve conversion approval

Deliver new AXIS model:

• Deliver efficient, well-documented AXIS model ready for reporting in the current quarter

Deliver model conversion document and AXIS model user guide, including:

• Document providing all development and validation details for conversion project
• Valuation process document summarizing reporting processes and controls
• Detailed summary of model configuration

Provide change management support and training, including:

• Formal and informal staff training
• On-demand post-conversion Q&A support to model development and valuation teams

The project was completed on time and with positive feedback from senior management. Results included the following:

• Manual legacy processes were decommissioned, resulting in an automated reporting process post-conversion.
• Multiple actuarial interns on the project were hired by the reinsurer as full-time employees and later became part of company’s internal AXIS consulting team.
• Having integrated well into the wider conversion team, Actuarial Design became a preferred provider of AXIS consulting services for the reinsurer, providing support on both routine quarterly modeling work and larger conversion, reporting, and actuarial system modernization projects.