Casualty Loss Reserve Seminar

The 2001 Casualty Loss Reserve Seminar (CLRS) is a forum for presenting and discussing significant issues in loss reserving. The program includes a range of topics to interest professionals and students in a number of related disciplines. Moreover, the seminar meets the continuing educational needs of actuaries and other professionals whose responsibilities include loss reserving.

The seminar is recommended for risk and insurance managers, actuaries, accountants, underwriters, insurance regulators, and others who require an understanding of recent state-of-the-art developments and traditional loss reserve methods and models. Sessions on advanced reserving topics and dynamic financial analysis are designed for experienced loss reserving professionals.

Intermediate reserving topics are recommended for individuals already familiar with basic evaluation techniques who wish to increase their knowledge of loss reserve methods and models. Sessions on basic reserving topics are recommended for individuals with limited experience evaluating loss reserves. In addition, a wide range of special topics will interest the general audience at all levels of experience.

The seminar follows a format of panel sessions, many using slides and printed handouts to augment the presentations. Illustrative numerical examples are used whenever possible. Audience participation is encouraged.

Limited Attendance Seminar on Asset Liability Management and
Principles of Finance

This seminar provides an opportunity for CAS members to become acquainted with both basic and advanced topics in the areas of finance and financial risk management and their applications to the pricing and analysis of property and casualty insurance.

The seminar will cover four topics in an integrated approach:

• Basics of Finance and Its Applications to Insurance. The first session will cover basic financial concepts and techniques, such as net present value, risk-return, capital asset pricing model, discounted cash flow analysis, internal rate of return, portfolio management and option pricing. Applications of these concepts and techniques to insurance are also presented.
• Introduction to Financial Risk Management. The next session will expand on the introductory material by providing an overview of financial risks, and an introduction to the tools available in the capital markets to address those risks. The increased significance and volatility of interest rates, foreign exchange rates, and commodity prices are demonstrated with historical statistics, and their potential impact on a firm's value and operations are discussed. Participants are then introduced to the financial securities which have been developed to handle these risks—specifically, forwards, futures, options, and swaps. Examples of how these instruments are used to hedge risks are provided.
• Hands-On Sessions: Applications. Building upon the material provided in the first two sessions, participants have the opportunity in these sessions to apply financial concepts and techniques to specific insurance-related problems and cases.
• Advanced Topics: New Developments. This final session provides a discussion of one or more advanced or "cutting edge" topics relating to finance and insurance. Possible topics include stochastic interest rate modeling, securitization, interest rate sensitivity of loss reserves measurements, integrated risk management solutions, and others.

The course will be offered in a classroom setting on Tuesday from 1:00 p.m. to 5:00 p.m., with a break, then continuing in the evening. Wednesday's session runs from 8:00 a.m. to 5:00 p.m. Dress is casual. Please bring a calculator or laptop computer and be prepared to do practice problems. Attendees will acquire a greater depth of knowledge not generally attainable in CAS hour-and-a-half sessions. The number of participants is limited to the first 40 registrations from CAS members in the order in which they are received.

 

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