CRITICAL REVIEW OF NEW PRODUCT VENTURES AND EXISTING PRODUCT ANALYSIS
You are the CEO of an insurance carrier that is entering the Medicare Supplement marketplace. An obvious critical component is the initial rate schedule pricing. No doubt your actuaries have presented you with a detailed report consisting of expectations regarding sales and profits. Have the underlying risks and challenges such as the following been presented?
Whether or not the answer is yes or no, I can share my own observations
REVIEW AND ANALYSIS OF PRODUCT RESULTS
As chief actuary of an insurance carrier, you are dealing with the challenges of suboptimal results of your Medicare Supplement line of business due to claim levels, market penetration, or a combination of the two.
My approach is to start with “low hanging fruit”. I’m not going to jump in and immediately recommend time consuming and expensive “deep dive” projects that may ultimately lead nowhere. An initial high level review may bring to light either isolated or systemic issues. From there, decisions can be made whether or not to dig further and what areas to focus on.
It’s not uncommon for carriers involved in multiple business lines to use the same modeling approaches across lines of business. Or the particular modeling approaches can be improved upon.
I can support modeling efforts in the following ways:
As my client, you have the resources of a dedicated actuary with a generations worth of expertise. There is no question not worth asking. I can offer the flexibility (within reason) my time for phone calls, emails, zoom calls, and even meeting participation, with or without travel.
In addition, you will have access to: