General insurance actuaries provide expertise in three main areas:
- Reserving - actuaries apply statistical techniques to assess the likely outcome of general insurance liabilities and the provisions that are needed for reporting purposes
- Pricing - actuaries assesses the frequency and average amount of claims to estimate premiums
- Capital modelling - actuaries projects both the liability and assets of insurers to assess solvency and future capital needs.
General insurance, such as motor and household insurance policies, provide payments to cover loses arising from a particular financial event. General insurance typically includes any insurance that is not determined to be life insurance. General insurance is is called ‘property and casualty insurance’ in the United States of America and ‘non-life insurance’ in most of Europe.
General Insurance is broadly divided into two areas: personal lines and commercial lines
- Personal lines - products designed to be sold in large quantities, such as motor insurance, household insurance, pet insurance and creditor insurance
- Commercial lines - products which are usually designed for relatively large legal entities. These include workers' compensation (employers’ liability), public liability, product liability, commercial fleet and other general insurance products. There are many companies that supply comprehensive commercial insurance packages for a wide range of different industries, including shops, restaurants and hotels.
The London Market provides a focus for many insurance companies and syndicates operating under a Lloyd’s of London banner to write large commercial risks such as supermarkets, football players and other very specific risks
The London Market consists of a number of insurers, reinsurers, brokers and other companies that are typically physically located in the City of London. Their business is usually written through specialist brokers. The London Market participates in personal and commercial lines, domestic and foreign, and also provides reinsurance.
The General Insurance Board actively influences the environment in which General Insurance actuaries practice
The General Insurance Board is a member-led Board of senior volunteer actuaries that advises the Institute and Faculty of Actuaries (IFoA) on important General Insurance issues. The General Insurance Board sets key objectives each year and has oversight of four subcommittees:
- General Insurance Education and Continued Professional Development Committee (GI ECPD)
- General Insurance Research Organising Committee (GIRO)
- General Insurance Reserving Oversight Committee (GIROC)
- General Insurance Standards and Consultations Committee (GISC).
With 30% of the general insurance membership living and working outside of the United Kingdom, across 70 different countries, the General Insurance Board has focussed its attention toward how best to deliver support to fragmented overseas members, developing an understanding of their needs and geographic location whilst increasing measurable ECPD outputs aligned to the international GI Community.
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For more information about the General Insurance practice area please contact the Professional Communities: