HOMEService  Product Development, Risk and System development

Product Development,
Risk and System development


Cash flow based insurance pricing (CFP) was implemented in April 2010 to be prepared for IFRS17. The purpose of this pricing technique is to manage possible risks that may arise in the future by projecting future cash flows.

This pricing technique is much more complex than the traditional insurance pricing, but it reflects company’s unique characteristic so that the possibility of computing variety of insurance premiums has become available. This premium also contains risks that may significantly affect insurer’s profit and loss and hence provide ideal sales environment.

Scope of Business

R&A has specialized techniques and know-how in cash flow based insurance pricing system implementation and education with reliable and diverse consulting experience to provide client friendly services that meets to client’s needs and to be actively prepared for volatile financial market.

  • 01 Global standard product development support with optimized assumptions that estimates future volatilities
  • 02 Competitive insurance pricing support to meet the shareholders expected profits by product profitability and sensitivity test
  • 03 Enterprise value improvement through Target Pricing and risk management
  • 04 Stochastic and Nested Stochastic for accurate option cost estimation
  • 05 Cash flow based insurance pricing model that can also reflect IFRS17
  • 06 Pricing Reporting System Implementation (pricing analysis reporting, source-of-profit analysis, etc.)