Risk Neutral vs Real World Calibration Calibration: calibration often refers to the process of adjusting the parameters of a financial model to match real-world market data. For example, when using an option pricing model like the Black-Scholes model, one may calibrate the model by adjusting parame...
Variable Annuity - Charges and Riders: Part 2 Variable Annuity Charges These charges will reduce the value of your account and the return on your investment Surrender Charges: If you withdraw money from a variable annuity within a certain period after a purchase payment (typically within six to eig...
Variable Annuity: A Comprehensive Guide - Part 1 Define Variable Annuity A variable annuity is a contract between policyholder and an insurance company under which the insurer agrees to make periodic payments to you, beginning either immediately or at some future date. You purchase a variable annui...
IFRS 17 Part-1 Let's dive deep into this International Financial Reporting Standards for Insurance Contracts IFRS 17 is a new accounting standard that entities are expected to apply for reporting periods beginning on or after 1 January 2023 (though earlier application is permitted). An accounting s...
General Insurance Technical Glossary Average Gross premium Gross premium / number of exposures Average net premium Net premium / Number of exposures Average Sum insured Total sum insured / Number of exposures Allocated loss adjustment expenses(ALAE) Correspond to those costs that the insurer is abl...