Course Overview
Comprehensive course that offers actuarial professionals an opportunity to dive deep into the key concepts, principles, methodology, and application of embedded value through a combination of :
– Interactive Lectures
– Case Studies
– Hands-on exercises
Also, gain the confidence to make informed business decisions and communicate effectively with stakeholders.
Course Highlights
8 Modules
12+ Hours
Schedule
2 Weekends (15-16, 22-23 July'23)
Course Format
Live on Zoom
Certificate
Verifiable & Shareable
Structured Learning
Developed by Experts
Real World Projects
Suitable for Actuaries Globally
Community Support & Networking
Course Content
Embedded value is a key metric used by insurance companies to assess the value of their business. Actuaries are responsible to perform the calculation of these fairly complex topics. This course is an opportunity to learn this key concept in an efficient and structured manner. Designed & delivered by seasoned actuaries with 2+ decades of experience, you will learn through 8 comprehensive and immersive modules.
Module 1 : Introduction to Market Consistent Embedded Value
This module lays the foundation for understanding what embedded value is & why it is important to the insurance industry
- Key Definitions
- Understanding the need & significance
- Evolution of Embedded Value
- Comparison with TEV
- Risk Neutral Valuation
Module 2 : MCEV Mechanics & Calculations
Dive into the nitty-gritty of embedded value with this exciting module on MCEV. Understand the components of MCEV and learn how different factors can impact its calculation. This module will equip you with the knowledge and skills you need to perform accurate MCEV calculation.
- Components of MCEV
- Net Asset Value
- Adjustments
- Implication of tax
- Value of Inforce (VIF)
Module 3: Best Estimate Liability and Assumptions
Actuaries require different assumptions to perofrm financial projections required for MCEV calculation. This module will discuss about assumptions required in different scenarios, their significance and method of calculating it
- Best Estimate Liability
- Non-Economic assumptions
- Economic assumptions
- Significance of different assumptions
- Other Factors
Module 4: TVFOG and CRNHR
This module will discuss two complex components of embedded value in detail - Time Value of Financial Options and Guarantees (TVFOG) & Cost of Residual Non Hedgeable Risks (CRNHR)
- Calculation & Significance of TVFOG
- Calculation & Significance of CRNHR
Module 5: Value of New Business and VNB Margin
Another concept parallel to embedded value is value of new business. In this module, we will discuss VNB calculation.
- Understanding the concept
- vs Embedded Value
- Significance of VNB & VNB Margin
- VNB Margin vs Profit Margin
- Factors that affect the margin
- Comparative analysis for different products
- Examples & Case Studies
Module 6: Appraisal Value
Further extension to the concept of EV and VNB is Appraisal Value. This module will discuss its calculation and significance.
- Analyst's view
- Use of MCEV and VNB
Module 7: Analysis of Movement
Actuaries calculate these metrics to perform analysis on performance of the insurance business. One of popular method is analysis of movement in financials across years.
- Components and Description
- Examples & Case Studies
Module 8: Disclosures
You will learn about the various disclosure requirements for MCEV, including regulatory, market and company-specific requirements. Gain a deep understanding of what information needs to be disclosed, when and why, and how to effectively communicate the results of your MCEV calculation to stakeholders.
- Information stakeholders expect in MCEV disclosures
- Sample report
Bonus Module : Discussion on Assignments & Real-world Insights
- Challenges faced by actuaries in real-world
- Answering Queries
- Discussion on assignments
Course Structure
Schedule & Timing
- Course will be delivered over 2 weekends
- Dates : 15, 16, 22, 23 July 2023
- Timing of session : 1700 HRS IST / 1130 HRS GMT / 0630 HRS EST
Features
- 12+ Hours of Comprehensive & Structured Learning
- Delivered through 8 modules
- Interactive (Live) Sessions Online
- Mentored by Fellow Actuary With 2+ Decades of Experience
- Learning Through Case Studies
- 90 days access to session recordings
- Email support for doubt resolution even after the completion of course
- Certificate of course completion
- Whatsapp Group For Networking
Suitable For
Actuaries at all levels can join, however this course expects participants to have basic knowledge of actuarial concepts
- 1+ Years of Experience
- Basic Understanding of Life Insurance Products & Actuarial Concepts like Cashflow projection, decrements, discouning, reserves etc
Mentor For The Course
JAYASAGER KT
Technical Instructor
20+ years of diverse experience working as a fellow actuary
Specialist in performing embedded value calculation, with hands-on experience in delivering EV reports for shareholders across companies and geographies. He is passionate about mentoring and carries immense experience in conducting corporate training.
Upskill With Embedded Value Knowledge
