PPOs are a significant feature of insurers' and reinsurers' balance sheets already and are having an impact on pricing and capital modelling efforts of GI actuaries. The Periodical Payments Orders Working Party has been at the forefront of advising GI actuaries about the impacts on their work, such as the need to use life insurance techniques in reserving.
The Periodical Payment Orders Working Party also conducts an annual survey of the UK motor insurance industry about their experience of PPOs. This has enabled:
- creation and publication of statistics about number, quantum and nature of PPOs as awarded by the courts
- qualitative feedback from the industry about their concerns and practices as regards to PPOs.
The Working Party will compile a mortality table of impaired lives due to brain and spinal injury following a severe trauma
The data is compiled from the UK medical research database of patient records as entered by GPs. Whilst cause of injury is not recorded we hope that the data will be sufficiently close to motor-related accidents that the mortality is a good match. To the best of our knowledge, this is the first time that such an investigation has been attempted. There is considerable call in the insurance industry for such analysis to help pricing, reserving and capital modelling.
The PPO working party operates within a terms of reference.
Periodical Payment Orders Working Party Outputs:
- Update on the Actuarial Research Centre PPO Event, 20 February 2019
- Technical Issues in General Insurance (TIGI) 2019: D1: Pricing Workshop
- Technical Issues in General Insurance (TIGI) 2019: H4: Reserving Workshop
- GIRO 2018: Workshop C: IFoA PPO Working Party Update - Mortality
- GIRO 2018: Workshop F: IFoA PPO Workng Party Quantiative Survey Update: PPOs - Down but not out
- Current Issues In General Insurance (CIGI) 2018 workshop B3: PPOs - What's the Market Doing?
- Reserving Seminar 2018 B1: PPOs - What's the Market Doing?
- GIRO 2017 PPO Working Party Report (industry survey)
- GIRO 2017 PPO workshop A2: PPOs – The end as we know it, or a new beginning?
- CIGI 2017 PPO workshop A2: What’s the Market Doing?
- GIRO 2016 workshop C8: PPO Mortality Recap
- GIRO 2016 workshop C8: PPO Mortality Analysis
- GIRO 2016 workshop D1: An update from the PPO Working Party
- Information for Actuaries Valuing Periodical Payment Orders: A helpful handbook
- Sessional Research Event: information for Actuaries Valuing Periodical Payment Orders
- Reserving seminar, 2016
- CIGI 2016
- GIRO 2016 Update Report (Industry Survey) [A prior version of the GIRO 2016 Update Report (Industry Survey) was previously available. We have updated Appendix Q, Mortality of PPO claimants. For further details please contact the working party. e: firstname.lastname@example.org]
2010 - 2015
- 2015 GIRO Survey Report
- GIRO 2015 Update Report
- GIRO 2015 C9 Workshop
- CIGI 2015
- Risk and Investment 2014
- GIRO 2014 Survey Report
- GIRO 2014 (A8)
- GIRO 2014 (B4)
- PPO Injury Categorisation (summary)
- PPO Injury Categorisation (sample spreadsheet)
- CIGI 2013
- GIRO 2013
- Constructing Impaired Life Mortality Tables and Severe Injury Classification (GIRO, 2013)
- Insurer, Reinsurer Opinions and Capitalisation Clauses (GIRO, 2013)
- CIGI 2012
- Breaking Research in Third Party Motor and PPOs (GIRO, 2012)
- Periodic Payment Order paper GIRO 2012
- Pricing Seminar 2012
- Presentations at the ABI & LMAG
- GIRO 2011
- Periodic Payment Order paper revisited 2011
- Momentum 2011
- Pricing seminar 2010
- GIRO 2010
- Periodic Payment Order paper 2010
- 9 November 2017
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The IFoA’s Risk Management and Finance and Investment Boards are delighted to host a series of webinars covering a range of topical and trending topics ranging from climate related risks to Brexit.
Notice is hereby given that the ANNUAL GENERAL MEETING of the INSTITUTE AND FACULTY OF ACTUARIES will be held at The Hub, Edinburgh on Wednesday 26 June 2019 at 16.30 (Preceded by tea from 16.00) and followed by a PRESIDENTIAL ADDRESS given by John Taylor.
The Institute for Financial and Actuarial Mathematics (IFAM) at the University of Liverpool is pleased to host the 2019 Actuarial Teachers’ and Researchers’ Conference from 27-28 June 2019. This annual two-day event has been running annually now for many years, each time hosted by a different university, and provides all those interested in actuarial research and education a great opportunity to share their ideas and catch up on the latest developments.
The Institute and Faculty of Actuaries (IFoA) and Actuarial Society of Malaysia (ASM) are organising a joint Professional Skills Training (PST) in Kuala Lumpur. This session is suitable for actuaries working in any area (i.e. it is not specifically aimed at Life, GI or any other technical discipline) and is interactive, so you should come along prepared to take part in the discussions.
Presented by Louise Pryor
Air pollution has gained increasing attention lately. Nicola Oliver, head of longevity and mortality research for Medical Intelligence, will discuss not only the impacts of air pollution on health and life expectancy but also how as an industry we should be addressing it.
The actuarial profession has much to offer the world of banking. In this webinar actuaries with experience in various fields of banking will talk about the opportunities there are in banking; describing the actuarial aspects of the work they do as well as other roles within their area of banking.
Towards the end of June, the International Accounting Standards Board (IASB) is expected to publish an Exposure Draft (ED) of limited changes to its insurance contracts standard IFRS 17, effective date 2022. To help IFoA members, the IFoA’s cross-practice Financial Reporting Group (FRG) is hosting an event at Staple Inn covering these developments.
For more information on the FRG please visit this webpage.
Presenter: Rahul Verma
Presenter Matt Modisett
This KSS talk, presented by the FCA Head of Department in Scotland, will focus on the following 3 main areas:
- FCA business plan priorities
- The future of regulation
- FCA Engagement in Scotland
For life insurers in the UK, the risk margin is one of the most controversial aspects of the Solvency II regime. Following its implementation, the risk margin came under considerable criticism for being too large and too sensitive to interest rate movements. These criticisms are particularly valid for annuity business – such business is of great significance to the national system for retirement provision. This criticism has led to political interest, and the risk margin was a major element of the Treasury Committee inquiry into Solvency II.
GIRO is attended annually by over 800 delegates and speakers who are keen to discuss key topics such as Pricing, Reserving, Modelling and the future of the insurance industry. GIRO 2018 was a huge success and we have opened bookings early for what we hope will be another brilliant conference at the EICC in Edinburgh this year.
Presenter Jon Spain
The Life Conference is the premier event for professionals interested in life insurance. Offering a wide range of workshops and plenary sessions it’s the perfect opportunity to discover what’s hot and current in life insurance ensuring you get up to date on the latest thinking and innovation whilst meeting and exchanging ideas with a broad range of professionals.
The IFoA is pleased to announce that this year’s Autumn Lecture will feature the Rt Hon Nicky Morgan MP as its guest speaker. Nicky has previously served as Financial Secretary to the Treasury and Minister for Women. She now chairs the Treasury Select Committee whose remit is to examine the expenditure, administration and policy of HM Treasury, along with all of its agencies and associated bodies.