Navigate today’s most pressing health industry challenges with a leading global expert by your side.
Meet growing needs for innovative insurance solutions while increasing operational health and improving compliance.
This is a place where your ideas and insights make an impact. Where an independent, entrepreneurial spirit is an advantage. And where diversity of thought and experience makes us who we are.
Data-driven insight. Deep expertise. Transformative innovation. Since 1947, Milliman has delivered intelligent solutions to improve health and financial security.
The minimum responsibilities of the Actuarial Function are set out in Article 48 of the Solvency II Directive and broadly cover the following key areas:
The Actuarial Function will also have a role in relation to the internal model application process and an ongoing responsibility to contribute to the effectiveness of the risk management system.
The discharge of the responsibilities of the Actuarial Function can have significant implications for insurers’ internal resources, for roles and responsibilities and for internal control structures. Typically, actuarial staff within insurance companies will have ongoing responsibilities that may well sit in the “first line of defence” that may give rise to conflicts with the Actuarial Functions “second line of defence” role.
There are a number of approaches that companies can take to meet these challenges. Our broad experience with how insurers are addressing these issues can help you identify the approach that will work best for your circumstances.
We can provide an outsourced Actuarial Function discharging the responsibilities articulated in the Directive and working alongside your in-house actuarial resource, who will be responsible for production of the relevant calculations. Alternatively, we can provide a fully outsourced solution providing both the Actuarial Function and the production of the required calculations. In this scenario, we will ensure that the appropriate control structures are in place to demonstrate the independence of the Actuarial Function and to ensure that conflicts of interest are avoided.
There are a range of other approaches that can be taken, including options where clients establish an in-house Actuarial Function, with Milliman provide ongoing support in relation to day-to-day actuarial activities, external review of Actuarial Function materials and calculations or ongoing expert actuarial advice.
Ask the tough questions. We’re ready for them.