Risk Based Pricing within an Efficient Pricing Process

18/10/2023 | Online Zoom Conferencing

A consistent technical pricing framework is an integral part of underwriting management and should be developed taking into account the return on capital required by carriers and investors. Risk based pricing is a framework for allocating costs to individual policies based on their own risk profile instead of pricing all policies to an average return on capital.

Learning Objectives

At the end of this session, delegates will be able to:

  • Explain the relationship between pricing, reserving and capital.
  • Outline how to price for the cost of capital at portfolio and policy level.
  • Describe what an efficient process looks like and why risk based pricing is a fundamental pillar of the process.
  • Summarise key pricing metrics for portfolio management derived as a by product of an efficient pricing process.
This image has an empty alt attribute; its file name is e16a7756-a361-c6b8-d8de-992207f752dc-1024x385.png

About the Presenter

Dr Ana Mata

Dr Ana Mata is a pricing consultant with over 23 years of experience working with MGAs, carriers and reinsurers designing, calibrating and implementing technical pricing frameworks and processes. Her experience spans to a wide range of insurance products from small commercial lines to complex specialty risks. She is the founder of MatBlas, an ActuarialTech consultancy that pioneered digitalisation of pricing models in 2007.