Over the years, actuaries have defined a well-established modeling methodology relying on first-principles calculations for assessing financial risks and financial reporting of life and annuity products. This methodology has been critical in the development and management of life insurance and annuity products. However, actuaries are now facing challenges caused by increased model complexity due to new financial reporting standards (LDTI, PBR and IFRS17), increasing regulations and recent events (e.g. COVID-19) that are prompting renewed focus on risk management.Innovative tools and techniques such as Artificial Intelligence / Machine Learning and novel cloud distribution strategies are being developed that can help actuaries circumvent the challenges posed by increasingly complex models. This session will discuss why some promising innovations fail to gain traction, lessons from other industries (e.g. the software industry) and insurtechs, and innovations that can be utilized to improve modeling efficiencies.
By attending the session, you will:Have a better understanding of technological innovations that can be utilized to improve the efficiency of actuarial models.Topic CategoriesInnovations, Technology/AI, ModelingSkill-based LearningActuarial Modeling and Analysis_____