Jaarndt
About
- Username
- Jaarndt
- Joined
- Visits
- 179
- Last Active
- Roles
- Member
Comments
-
I think it is sort of just like for investments in non-insurance affiliates. If the investment is like a fixed-income investment then it should go in to R1, if it is more like equity then it goes into R2. If the synthetic asset was replicating a sto…
-
While going through Fall 2017 I found and interesting note in the examiners report that may give a little more detail on the applicability of Clayton and Robinson Acts after McCarren Ferguson. The examiners report for part C says "Candidate was expe…
-
On page 245 of Odomirok. It is stated " Reserve risk is the risk that the company's recorded loss and loss adjustment expenese reserves will develop adversely, under the assumption that the current reserve balance is adequate." I just randomly remem…
-
I am also confused on this question. It specifically says "discuss how this decision would be addressed solely under the Sherman Antitrust Act." Why would we then say anything about the SEUA case? That would not be "solely under the Sherman Antitrus…
-
Columns 3 and 4 add them but the values are negative. Then in rows 36 and 37 they basically undo this with the exact same amounts. Then the value in row 38 is what is used in the UEPR for the balance sheet.
-
It's page 1319 of the online source document. The unearned premium is calculated in the last column.
-
It's in the appendix 1. Page 7 of the fictitious annual statement.
-
Also directly from the reading *promote competition in reinsurance market *reflect globalization of insurance (by recognizing foreign insurers & streamlining regulation) *reduce penalties for unauthorized reinsurers that are strongly capi…
-
Hello, after doing some digging it was question 14 from spring 2014. The examiners report says a mistake was including the earned but unbilled amounts or reserve for rate credits and retrospective adjustments based on experience. I guess I am confus…
-
Actually I'm confused again now. For ratio 12 we use the surplus from two years ago. I don't see how that would change when tabular discounts change.
-
Ahhh. I see now. Thanks for the clarification
-
Do we only refer to insurance companies in other countries as alien insurers? I ask because in this question and in the wiki the term "foreign regulator is used" and also "foreign market." I believe these are referring to outside the US.
-
Does the 10-10 rule require us to account for time value of money like EPD? For example in Fall 2018 Q15. I know why the 10-10 rule fails her but if instead there was 10% chance of 16,000,000 loss, would we have to compare that to 110% of the presen…
-
False alarm. I accidentally clicked on the question above it and it took be to schedule P. It is from Feldblum Surplus.
-
Sweet thank you
-
It actually comes from the Odomriok source text on IEE the relevant paragraphs is "The ratio that is used to determine the amount of unearned premium reserves representing prepaid expenses is calculated for each line of business separately. It is …
-
Is Tying still illegal? I swear when i was an underwriter I was told not to write property coverage for someone if they were not placing their GL with us as well.
-
Hello, I read Graham's comment above but I also see in the examiners report that the answer "use tabular discounts to increase surplus" was accepted and in the battle quiz for this question (quiz 6) it uses this for one of the answers. I feel like t…
-
Wow. I'm not sure what I was thinking. Must have had my numbers mixed up when I had it written down and thought the right side was the max in part a. Thank you for the clarification.
-
Hello, I have a similar question to what was asked above as it pertains to Spring 2016 Q26. I am keep seeing the ERD described as "The probability of a net present value underwriting loss for the reinsurer multiplied by the NPV of the average severi…
-
I have a question on this problem and how it relates to the IS section. The UW profit for that section is not just EP - incurred loss, it also subtracts LAE and other expenses. Is the IL notation in the tax section actually incurred loss, lae and ot…
-
I believe the reason this looks different in these two problems is that the other income in the 2012 problem is zero. In the 2015 problem we have an amount for other income and that is included in the pre tax profit excluding invGain. So basically (…
-
Hello, I have a question on the exam report for this compared to Fall 2018 Q16. In Fall 2018 16, to get investment income gain we had to subtract the capital gains tax since the sum of investment income gain attributable to insurance transactions a…
-
Omg. Thank you so much. That makes a lot of sense
-
One of the solutions in the examiner report is " It directly impacts their collateral required to post to ceding companies. A better rating leads to less collateral needed." Based on the schedule F section, isn't this not true? I thought we learn…
-
I found my answer when going through the material again. RBC does not account for reserve adequacy risk. Most of that long post can be ignored.
-
Hello, I believe the response given by Staff-AC here is incorrect as what vespery says is true. The wiki article says R1 includes interest rate risk. Also I need some clarification on if RBC considers the adequacy of reserves or not since it was no…
-
Hello, In Fall 2019 Question 26d I understand that a commutation will distort the LDFs calculated from schedule P; however, I am confused on the extra part that it will distort the closure rates. Wouldn't it only distort the Claim counts of the rein…
-
Ok thank you. One last thing, can you just confirm if the substantially all exception really only applies to quota share contracts with a high ceding percent? I have seen a few different examiner reports where one of the accepted solutions for the s…
-
For these practice problems. Are we just pretending that there is no pre-determined payment pattern? It seems like if we know exactly when we are going to receive the payment, then there would be no timing risk and so there would be no transfer of r…