Description: Behavioral economics is the alternative to the traditional ways (surveys and focus groups) we've been using to try to understand the drivers of customer behavior in the insurance industry. It merges psychology with traditional economic theory, offering insights into individual decision making behavior that go beyond the purely rational model. Within the sphere of health insurance, there are countless behaviors, not just of customers, but of underwriters, medical professionals and claims specialists which may be better explained by behavioral economics. Applying concepts from behavioral economics in live trials it is possible to bring about benefits such as increasing sales and retention rates, improving claims processing and encouraging more accurate disclosure. Swiss Re's global research team partners with its reinsurance clients to incorporate behavioral economics concepts into their letters, websites, forms and scripts by running A/B tests to understand what is driving customer behavior. The team currently has over 100 tests in progress with more than 40 clients, including many in the United States. The partnerships are producing clear business benefits, increasing sales, renewals, health disclosure and turnaround speed for claims payments. These changes are driven by small, inexpensive changes in communications with customers, and we'd like to share some of our insights with you. We've increased upsell rates, disclosure and email open rates, and reduced lapses, turnaround times and appointment no-show rates, to name just a few examples. Behavioral economics is the topic on everyone's lips with insurers and reinsurers all beginning to talk about it in earnest. Our team has been working hard for nearly 4 years and in that time instead of talking, we've been doing, and now we can share with you what a difference behavioral economics can actually make for insurance.

Description: Mr. Rallis will discuss trends in the market for risk transfer of defined benefit plans in the US. He will also address implications of increasing longevity.

Description: The panel looks at the shortage of actuaries and determines if the solution is the responsibility of the Society, insurance companies and consultants or a joint responsibility. This discussion also examines steps taken to develop actuarial courses in colleges and universities. From Transactions of Society of Actuaries 1959, Vol. 11, No. 30 AB.

Description: This discussion is divided in three sections: Further Application, asking how much accounting can be done on computers. Conversion, looking at further functions integrated into the systems by companies converting to Electronic Data Processing function-by-function and Savings, examining if it is any clearer what the ultimate savings from Electronic Data Processing will be. From Transactions of Society of Actuaries 1959, Vol. 11, No. 31.

Description: From the 1960 Transactions Vol. 12 No. 32, this ‘Discussion of Subjects of Special Interest’ addresses the ordinary insurance underwriting topics of “guaranteed issue” and potential antiselection of business insurance vs. personal insurance at time of retirement.

Description: From the 1960 Transactions Vol. 12 No. 32, this ‘Discussion of Subjects of Special Interest’ addresses dividends. Topics include the reflection in dividends of new federal income tax basis for qualified pensions involving individual policies, and for certain annuities, rate of excess interest on supplementary contracts vs. accumulated dividends, and issues involving dividends on supplementary contracts.

Description: 2003 Valuation Actuary Symposium, San Diego, CA. This session discussed the considerations in performing due diligence on a reinsurance partner and the impact of deteriorating credit quality. Topics included: 1. Letters of credit 2. Arbitration and disputes. 3. Impact of mergers and acquisitions. 4. Offshore reinsurance. 5. NAIC issues.

Description: This session at the 2003 Valuation Actuary Symposium reviews the actuarial aspects of GAAP accounting including methods and considerations of reporting under FAS 60, FAS 97, FAS 120, FAS 133 and Purchase GAAP. Examples and financial statement case studies are introduced.

Description: This session at the 2004 Valuation Actuary Symposium provides an overview of statutory valuation issues for life and annuity products including the Actuarial Opinion and Memorandum Regulation, variable products reserving standard, adoption of 2001 CSO, C-3 Phase II RBC project and nonforfeiture changes.

Description: Learn about key actuarial and analytic tools and methodologies used by commercial health insurance to identify and quantify drivers of healthcare cost and utilization (including wasteful and low-value ones) and risks. Use case scenarios in which these tools and methodologies apply, such as underwriting, reinsurance, medical management for population health and chronic diseases, managed care contracting, insurance market reform, provider payment reform, etc., will also be covered. Experience from the U.S., China and other parts of the world will be shared.