Pricing, Product Design & Assumption Setting


Pricing and Product Design

Pricing and product development come with their own issues that can expand outside of the usual actuarial scope. This requires technical work and integration across the company and the wider industry.

We can help you throughout the pricing process with:

  • Improving governance and the control cycle process

  • Assisting in business review, development and optimisation

  • Aiding data manipulation, illustration and storage

  • Providing expert judgement in data quality and credibility

  • Introducing and maintaining relevant scorecard development

  • Analysis of product pricing strategy and price benchmarking

  • Profit test modelling.


Assumptions

Insurers have access to ever increasing amounts and complexities of data with which to price and design products and set assumptions. However, without proper understanding and processing, analyses and conclusions can be inaccurate and misleading.


Assumptions are the backbone of modelling and how useful results can be for decision making.

The team has experienced numerous cycles of setting, checking and reviewing assumptions for reporting purposes. This includes assessing the suitability of model inputs, experience analysis, review of improvements and process simplification, of both economic and underwriting variables.

The team can improve all parts of the basis setting processes, including:

  • Data handling and manipulation

  • Analysis

  • Sign-off processes

  • Implementation into systems and other processes

  • Auditability

  • Checking and validation

  • Ensuring decisions are made with the correct understanding of what feeds into those assumptions.

 

For further information, please contact one of our Leadership team, Ramesh Indran: ramesh.indran@4-most.co.uk or Chintan Patel: chintan.patel@4-most.co.uk.


 
 

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