STATISTICAL REPORTING SERVICES
For decades, statistical agents in the United States have collected data to help insurers meet regulatory statistical reporting responsibilities. Insurance regulators are entrusted with monitoring and regulating the business of insurance in three areas:
To ensure that insurance companies will be able to meet their financial obligations to policyholders
To ensure that insurers do not engage in unfair practices and that insurers fulfill the terms of their policies
To ensure that rates meet statutory standards, that is, that rates are not inadequate, excessive, or unfairly discriminatory
To carry out their first duty, insurance regulators collect data about a company’s assets and liabilities and its financial performance; which does not provide detail necessary to test the adequacy of the rates.
To carry out their second duty, insurance regulators conduct periodic market conduct examinations of individual insurers; which typically does not provide detail necessary to test the adequacy of rates.
To assist regulators in carrying out their duty, insurance regulators rely on statistical agents to develop statistical plans that define the data elements to be collected (e.g. coverage, class, amount of insurance), the timeframes to report (e.g. monthly, quarterly, annually), and the format or record layout.
The SL DRA platform was developed to carry that mission of statistical and advisory organization that will allow the insurance industry in emerging markets to :
Create metrics that add value and avoid data disparity
Facilitate fair competition in the marketplace
Provide access to deep content, therefore, reduce reporting delays and improve decision-making
Allow better risk selection by participating members
Access market-based actuarial analyses and periodic statistical bulletins
The SL DRA platform is the one-stop tool for providing a database of homogeneous experience for comparable policies that fulfill both a regulatory need (i.e. collect historical insurance company experience) and a business need (i.e. correctly price the insurance product).