1 minute read
What is Non-Life Standard Code in
R³S Modeler?
Non-Life Standard Code combines a variety of actuarial reserving methods and our powerful modeling platform (R³S Modeler) to make it a fully modular, highly flexible and transparent integrated solution that goes beyond other black-box style tools.
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It brings together the LIC (Liability for Incurred Claims) and LRC (Liability for Remaining Coverage) models and makes them available on a single, convenient platform that provides valuable new insights into your business.
In LIC model, deterministic results are combined with distributions of possible outcomes from stochastic methods. This can provide you with an understanding of where within percentile ranges your estimates might fall, as well as a measure of the potential variability in your estimates.
In LRC model, using the distribution fitting approach, you can calculate a distribution of your future expected losses. This can produce estimates of future cash flows for your remaining coverage (i.e. unexpired risk).
Ultimately, Non-Life Standard Code can be used to model the nuances of your particular business and provide actionable information that can be used to support complex business decisions.
Also, it can dramatically reduce the time and effort required for companies to prepare data and models; therefore, this allows you to focus more on analysing the model results.
It can be used for core reserving applications as well as in conjunction with our other R³S packages, such as the R³S IFRS 17 Package and/or the R³S Solvency II Package.
