Call for Volunteers - Long Term Pricing Analysis Working Party
A new working party on long term pricing strategy is being formed and needs volunteers.
The vast majority of property and casualty type products have limited duration, typically six months to a year. This short duration affords carriers low response times when addressing environmental changes due to loss characteristics, competition, and regulation. The ability to act quickly comes at the cost of additional operational overhead to accommodate frequent price and product changes. Additionally, the property and casualty space has historically had many commonly used pricing features each with its own cost and response time considerations.
The working party will conduct research to answer questions such as, but not limited to, the following:
- Which financial metrics are commonly being used to assess short and long-term performance?
- Is there a calculable metric to guide decision makers in assessing the tradeoffs of response time vs expense when looking to optimize chosen metrics?
- Regarding pricing features in the long term, are there any universal advantages or disadvantages? If so, which features are most effective at achieving which financial metrics?
- What best practices and considerations for actuarial pricing should be in place to ensure tradeoffs are understood by the business partners?
The working party and its members will produce discussion papers, presentations, blog posts, or other output in response to these questions. The overall goal will be to encourage dialogue and build awareness about these topics among our members.
Working parties bring together a group of interested professionals to focus on a specific research project over the short timeframe of about one year. A written report is usually the end product of a working party. All interested researchers are invited to participate, CAS member or not.
If you are interested in participating on this working party, please fill out our survey.
Additionally, if you have questions, please contact Jody Allen at email@example.com.