Non-Life Pricing Using Statistical Techniques with R Applications

Event Type
Web Session
European Actuarial Academy

Start day: Thursday, 4th March 2021

End day: Tuesday, 9th March 2021


Announcements from the European Actuarial Academy: 

Non-Life insurance is facing many challenges ranging from fierce competition on the market or evolution in the distribution channel used by the consumers to evolution of the regulatory environment. Pricing is the central link between solvency, profitability and market shares (volume). Improving pricing practice encompasses several dimensions:

  • Technical: Is our pricing adequate to cover the underlying cost of risk of my policyholders and the other costs we are facing? Which are the key variables driving the risk? Are they adequately taken into account in our pricing? What’s the impact of the claims history of my policyholder on its expected risk? In which segment are we profitable and in which are we not profitable?
  • Competition: At what price will we attract the segments that we target and price out those that we do not want? Is the positioning of our competitors influencing our pricing practice and our profitability? What’s my position with respect to my competitors in term of pricing? What are the segments in which I am well positioned and the segments where I am not well positioned?
  • Elasticity: What price (evolution) are our existing customers prepared to accept? Does the sensitivity to price evolution depend on the profile of my customer?
  • Segmentation: Is our segmentation granular enough for our purposes?

The aim of this web session is to present some advanced actuarial/statistical techniques used in non-life pricing or underwriting. The web session focuses on selected practical problems faced by pricing actuaries and product managers.

The web session will alternate between methodological concepts, practical examples and case studies in order to ensure a comprehensive understanding of the techniques presented. The case studies will be performed by the participants with the R software.

The web session is developed for non-life actuaries or statisticians but also for managers working in product development or risk management departments. There is no strong prerequisite but participants should ideally have basic knowledge of non-life pricing and R to participate in this web session.

Attendees are encouraged to use a laptop computer with R installed as well as some useful packages (all the information will be provided after subscription). A basic knowledge of the R software is useful.

Please register for the web session as soon as possible because of the expected demand.

Your early-bird registration fee is € 640.00 plus 19% VAT for bookings by 18 January 2021. After this date, the fee will be € 790.00 plus 19% VAT.

Click here to make a reservation

Samuel Mahy and Xavier Maréchal
Biographical details

Samuel Mahy
Samuel graduated as a Master in Engineering (Applied Mathematics) with an additional minor in Economy and holds a Master in Actuarial Sciences, as well. He is a qualified actuary of the Institute of Actuaries in Belgium (IA|BE) and involved in the Reinsurance and Non-Life Workgroup of the IA|BE. He is the Head of the Non-Life Center of Excellence at Reacfin. Samuel has been active 5 years in the reinsurance sector where he was involved in reinsurance pricing model developments. At the same time he was also the main responsible of the UK market portfolio profitability follow-up. Samuel joined Reacfin in June 2010 as a specialist in Non-Life Insurance and Reinsurance and he has acquired a sound knowledge of Solvency 2 frameworks (Non-Life, Health). As a director, he is involved in various missions as in the modelling, implementation and validation of pillar I deliverables (standard approach and (Partial) Internal models), reinsurance optimization, model documentation, non-life pricing model development for several lines of business, etc.

Xavier Maréchal
Xavier is founder and CEO of Reacfin. Xavier is one of the co-authors of “Actuarial Modeling of Claim Counts: Risk Classification, Credibility and Bonus-Malus Systems” (Wiley, 2007). Xavier has obtained different academic degrees as Master in Engineering (Applied Mathematics), MSc. Actuarial Sciences and MSc. Management. Xavier is a qualified actuary of the Institute of Actuaries in Belgium (IA|BE) where he co-leads the Data Science working group (focusing on the education topics). Xavier has extensive experience in the actuarial field obtained during his 15 years as a principal consultant for many national and multinational insurance companies. He has gained a complementary experience in various fields going from Non-Life pricing and provisioning to health modeling and ALM. Xavier is a regular speaker at Reacfin Academy, at the European Actuarial Academy and in other actuarial training/conferences (in Belgium, Luxembourg, UK, The Netherlands, Denmark, Poland, France, Germany, Caribbean, India, South Africa) mainly about the application of data science techniques for general insurance pricing