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Barnett Waddingham
0333 11 11 222
We offer a full range of actuarial and risk management consultancy services to non-life insurers - ranging from traditional actuarial areas such as reserving to new and developing areas such as validation and actuarial technology.

Our clients include non-life insurers across the industry, ranging from the niche captives to some of the largest insurance groups in the world. While the team is based in London, we count (re)insurers and captives in both the UK and Europe amongst our clients, with a growing presence in the US. Our aim is to listen and tailor the approach to suit the size of our clients and to ensure solutions are suitable for their risks and issues they face.


Specific expertise in our actuarial practice

  • Actuarial Function – We act as the Actuarial Function for a number of insurers and captives in both the UK and Europe, as approved by the relevant local regulators. This entails carrying out regular reserving exercise for our clients and producing relevant actuarial reports to meet the Solvency II requirements. As part of the Actuarial Function remit, we produce annual Actuarial Function reports which include opinions on the underwriting policies and reinsurance arrangements for our clients. For Irish entities, we can act as the Head of Actuarial Function, a role that we presently do for a number of companies.
  • Reserving – We have extensive experience in GAAP and IFRS reserve reviews as well as Technical Provisions on a Solvency II basis. For Irish entities, this also includes compliance with the Central Bank of Ireland Domestic Actuarial Regime and Related Governance requirements, which includes producing both the Actuarial Opinion and the Actuarial Report on Technical Provisions.

  • Solvency Capital Requirement (SCR) – Our significant experience includes supporting clients with their SCR, based on standard formula, either through undertaking the calculations for them or reviewing their calculations to provide assurance on the methodology, approach and implementation. Our market leading SIIMPLIFY tool provides those insurers wishing to calculate their own SCR with a cost efficient Excel based tool to do this backed with our high level of customer service.

  • M&A and restructuring – Our services include supporting companies in undertaking actuarial due diligence, whether they are acting as the buyer or seller. In addition, we can also act as an Independent Expert for Part VII transfers.

  • New operations – We have significant knowledge of insurance operations and can help companies establish one, be it as a captive, InsurTech start up or a new MGA. Our expertise also extends to advising companies on a range of matters from where to domicile to helping to analyse a business plan. We also provide guidance through the insurance regulatory terrain for a number of territories.

Specific expertise in our risk management practice

  • Validation – We can provide support to non-life insurers who would like to validate their internal, partial internal and standard formula models, providing specialist validation and technical knowledge to enable a thorough yet pragmatic approach to validating such models. Our extensive experience of such model reviews includes validation as required for IMAP for a number of multinational insurance companies.
  • Own Risk Solvency Assessment (ORSA) – We are experienced in helping non-life insurers develop and embed their ORSA process and report so as to ensure that these deliver value from day one. We have developed a range of tools and techniques to help non-life insurers implement their ORSA in a time and cost efficient manner, recognising that one size does not fit all. 

  • Capital management – We can help non-life insurers to understand their capital position. By designing capital models and performing stress and scenario tests, we can help insurers to understand their risks and assist with strategic decision making.

  • Peer review – As well as providing the Actuarial Function for companies, we can support an internal function by providing independent peer review, challenge and expert input into their existing processes or risk and actuarial governance framework. Examples of areas of governance review provided include:
    • Risk Management System – review of the Risk Appetite Framework, Risk Register, Solvency II policies and procedures, Internal Control & Compliance Monitoring schedules
    • Independent governance review of existing Governance system
    • Board Effectiveness review – assess effectiveness of the board and report to board with critical assessment thereof, including recommendations on optimising effectiveness

Specific expertise in data and transformation

  • IFRS 17 – IFRS 17 introduces a complete change to the way insurance contracts (and therefore profit) are valued while increasing the level and quality of disclosures required from insurers. Even though the standard is due to come into effect on 1st January 2022, insurers have lots to do. We, alongside partners in our consortium, can help insurers understand, analyse and implement IFRS 17 solutions from both a systems and actuarial perspective, taking a holistic approach to help companies both comply with regulations while unlocking their data for future use.
  • Process Transformation - We can help free up the time of the actuary by helping to transform their existing actuarial process into something that is more automated, allowing in-house actuaries to focus on tasks that gives insurance companies their competitive advantage. Process transformation can also act to reduce unnecessary costs and improve work satisfaction.

    Our experience in transformation is wide and varied, from even the smallest process using VBA macros to large enterprise scale processes running on Oracle or SQL. We adopt a bespoke approach to balance delivery risk against the potential benefit from a successful transformation.
  • Visualisation – We can help transform the communication of complex data by introducing the latest thinking in visualisation when it comes to actuarial work. We recognise the challenges facing insurers when it comes to accurate interpretation and communication of increasingly complex models. The benefits of visualisation include helping teams focus on gaining deeper insights and a greater understanding of their business, increased engagement with stakeholders and improvements to the effectiveness of communications.

In addition to experience with market leading software, we also have our own ANNalyticaTM software that can help visualise the output of stochastic capital models.

Related knowledge and resources

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    Keeping abreast of the latest regulatory developments can be challenging at the best of times. Our newsletter is here to help, drawing out the main points from some of the key regulatory publications over the period 01 July 2016 to 30 September 2016.

  • Solvency II disclosures

    It may feel like there’s plenty of time before the Solvency and SFCR and RSR submission deadlines, but the scattered nature of the regulation and the high volume of information required make the task of preparing the reports far from trivial.

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    We were appointed to advise a client with ~£400m of assets in 2015 and this case study sets out how we worked with the trustees and employer to ultimately reduce risk and increase expected returns while working towards an agreed objective.

  • An out of control deficit

    We provide a regular funding and investment monitoring service to the trustees of a £40m scheme. We were asked to review the funding and investment strategies of the scheme, in particular with a view of reducing the risk of the deficit increasing further.

  • Contingency planning in action

    A client was looking to develop a financial management plan for the scheme, targeting a fully de-risked and liability matched investment strategy and moving on to buy-out. The plan aimed to strike a balance between reducing risk and business needs.

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