АКТЮЕРСКИТЕ ОЦЕНКИ И ТЯХНАТА ЗНАЧИМОСТ ЗА ФИНАНСОВАТА ОТЧЕТНОСТ НА ЗАСТРАХОВАТЕЛИТЕ
ACTUARIAL VALUATIONS AND THEIR RELEVANCE TO THE FINANCIAL STATEMENTS OF INSURERS

Author(s): Simeon Grigorov
Subject(s): Economy, Accounting - Business Administration
Published by: Университет за национално и световно стопанство (УНСС)
Keywords: financial statements; actuaries; assets; liabilities; reserves
Summary/Abstract: Actuarial valuations are essential for the insurance industry. The actuaries evaluate the insurance risk – the possibility of occurrence or not of insurance events or conditions under the contracts concluded by the insurers with the insured. Through their knowledge of insurance mathematics and statistics, finance, management and analysis, they help to create insurance and investment policies that are adequate in a competitive market environment to minimize the cost to insurers of insurance risk. Actuaries analyze data to evaluate the likelihood of events such as death, illness, injury, disability, damage or loss of property, damages from incorrect decisions, liability insurance reports and opinions, and to estimate the probable cost to insurers of paying sums and indemnities, in case of liquidation of damage and insurance events. In its essence, the insurance is an activity based on probabilities. Most insurancesprotect the policyholder from the financial consequences of adverse accidental events such as death, fire or accident. Actuaries measure the risks for which insurance is made to determine their likelihood of occurrence. Actuarial valuations are closely related to the accounting of insurers. The actuaries' responsibilities are related to the correct, true and accurate pricing of the relevant insurance products, which in turn forms the sum of the insurance premiums collected or the insurer's income in general. They also determine the amount of insurance / technical / reserves required that insurers must set aside to meet future insurance policies obligations or to release at the end of the financial year. In some cases, actuaries also evaluate the assets that provide technical provisions and are responsible for choosing the insurer's investment strategy.

• Details
• Contents