Pricing and underwriting support
The underlying drivers of London insurance business are often obscure and complex. Underwriters and brokers address these issues constantly.
We have developed close working relationships with numerous insurance and reinsurance brokers as well as underwriters and produced a range of tools to assist with the evaluation of potential claims under varying contract terms.
Pricing problems can generally be classified as exposure rated, experience rated or somewhere in between. The fundamental issue in each case is to understand the claim process and the perils impacting the proposed contracts.
In many cases a significant aspect of pricing is the ability to assimilate very large volumes of client statistics which are not always available in a neat, tractable form. A key skill which we have developed is the ability to quickly assimilate diverse data sets and to communicate our analyses rapidly in order to create meaningful dialogue with our clients.
Theoretical pricing will generally consist of 3 components:
- Statistical mean
- Cost of capital
- Expenses
Each component of the theoretical price must be accessible and correctly calibrated.
London: