Statistical Challenges in Life Insurance Industry

• Activity Number: 506
• Type: Contributed
• Date/Time: Wednesday, August 1, 2012 : 10:30 AM to 12:20 PM
• Sponsor: Section on Risk Analysis
• Author(s): Zhiwei Zhu*+
• Companies: Scor Global Life Americas
• Keywords: risk ; financial ; insurance ; regulation ; statistics ; SolvencyII

Abstract

As a science that studies uncertainty, statistics can play a more important role in financial services industries' risk management. Globally, new regulations (e.g. Solvency II) are developed or under development with a common goal: ensuring better risk management in the industries that include banks and (re)insurance companies. The interpretation and implementation of these new laws demand the members of the industries to acquire more thorough understanding, quantification, projection, and monitoring of the major risks, or uncertainties, embedded in their businesses. These global wide risk control legislations present both challenges and opportunities to statistical professionals whether they are inside or outside the industries. What do these challenges look like? How are they related to statistical professionals? Which statistical theories can be developed or tailored for addressing the challenges? Why are there potential opportunities for statisticians? This presentation will provide a brief view of someone from the life insurance industry.