This publication is available exclusively to Munich Re clients. Please contact your Client Manager.
Accurately forecasting expected losses and understanding the
inherent volatility of commercial insurance products is a key
component to every client's risk management strategy. It can mean
the difference between a healthy insurance entity and an insolvent
We have over 50 members of the American Academy of Actuaries on staff, including members of both the Casualty Actuarial Society and the Society of Actuaries. These professionals are part of the underwriting team which helps clients make appropriate risk transfer decisions.
Services provided by our actuarial staff related to reinsurance pricing include:
The Risk Accumulation Department oversees the catastrophe risk
management function for Munich Re's US operations. We are
responsible for monitoring all property and workers compensation
accumulations for both natural and non-natural perils, as well as
handling all technical and scientific catastrophe risk modeling
The catastrophe modelers are responsible for modeling all property and workers compensation exposures using commercially available catastrophe models. Our geoscience experts evaluate these models and provide technical expertise related to natural catastrophe-related underwriting and accumulations issues.
The staff of the Risk Accumulation department can help you to:
Our claims and underwriting teams work in close partnership with
you to define and create loss prevention strategies and optimize
the underwriting process.
Our Claims division is among the strongest in the industry, with our experts averaging over 20 years of experience managing and resolving claims issues. Our expertise is available to Munich Re clients to help solve a wide range of claims challenges. We can help you to:
Consulting services and seminars
Consulting services and seminars are available in the following areas:
Casualty claim seminars
Our claim professionals partner with University of Wisconsin Graduate Business School to offer basic and advance programs in casualty claims handling which are designed to increase the level of expertise and skill among primary carrier claims departments, thereby improving primary insurer loss experience while highlighting our value-added services. The intention is for the program to be very practical and hands-on. Our goal is to share information about decision making and principled, fair claims processes; not only doing things right, but doing the right thing.
The seminars look to provide knowledge filling the common gap often found in current claims departments between the experienced adjusters and the newer adjusters. That is, rather than a continuous age distribution, many departments appear to have a group of older adjusters with greater expertise and a second group of younger, less experienced adjusters. The ultimate retirement of the first group may leave some departments short on expertise. The participants in this program are expected to return to their jobs with the ability to share their new knowledge with colleagues.
Construction defects claims management
Construction defects claims against builders have soared nationwide in recent years. Because the cost of defending these types of claims has become a significant problem for insurers, we have a construction defects specialist on staff to assist our clients. Our actuarial and claims consultants can help clients to quantify their ultimate construction defects liabilities, establish dedicated construction defects claim units, develop claims-handling “best practices”, and create litigation and case management strategies, all of which can result in significant cost savings.
As a leading reinsurer, we have the opportunity to view developing exposures from the diverse perspectives of our clients. Exposures we are currently monitoring include: advertising liability/intellectual property, toxic mold, and genetic engineering. Our claims consultants can be invaluable resources to our clients who need up-to-date information on the legal, insurance, reinsurance and contractual issues surrounding developing exposures. Our claims professionals are often teamed with underwriters, actuaries, and contract wording specialists to help clients develop comprehensive solutions as new issues arise.
Asbestos, environmental, other latent and mass tort claims management
Our A&E, other latent and mass tort claims staff brings two decades of experience in managing, evaluating and resolving these difficult and complex exposures. They share their experience with clients and can assist them in a variety of ways, including:
Managing high-impact claims more efficiently and effectively
Our consulting services and seminars will help you to more efficiently and effectively manage the following high-impact claims:
Our Best Doctors® Catastrophic and Legacy
Case Services program improves the medical and cost outcomes of
high acuity, legacy claims and workers' compensation catastrophic
injuries. We achieve optimum results by using the top medical
experts from Best Doctors® consulting
Types of injuries suggested for referral include:
Our Dynamic Reinsurance Analysis (DRA) services can help you
objectively assess the effectiveness of your reinsurance program.
Whether you want an independent evaluation of your entire program,
have specific questions about the effects of restructuring your
program, or are simply interested in periodically validating your
approach, teaming with our experts is a valuable exercise.
Analyzing your needs
The process begins by establishing a clear understanding of your company's financial goals and constraints. In turn, we will collaborate with you in designing the scope of services to quickly answer your specific business questions. The scope can range from transactional analyses of risk retention levels and specific contract features to whole account reinsurance program analysis.
Modeling your business
Our DRA services use our own proprietary software as part of our ReDesign® service, which includes extensive liability/reinsurance simulation modeling capabilities. This service is simple, fast and efficient.
Supporting your reinsurance decision
Once the modeling phase is completed, the analysis team, along with your account manager, will present an insightful, report that includes a series of probability graphs as well as risk and return charts. These will enable you to quantify the costs and benefits of your company's various reinsurance options.
Our DRA reports are intuitive and easy to understand, and well supported with client-tested charts and graphs that distill the technical results of our simulation models into tangible reinsurance solutions – unlike the complex outputs of many other models in the market today. Our proven track record, insights, and user friendly output will help you make more effective decisions, and better align your reinsurance program with your corporate risk appetite and strategic goals.
In today's competitive marketplace information is key to
success. Our professional research analysts provide custom research
and analysis to help achieve your business goals.
Gain a competitive advantage
The market research services provided can help you gain a competitive advantage. You can use our services to:
Custom reports and research
Whether you require market share reports by line of business or need to identify companies that write certain coverages, we can help. Some of our most requested research reports, designed and tailored to your specific needs, are: Current market trends: These reports provide detailed information by line of business. Some of our clients use this information in creating underwriting manuals.
Market share: These reports offer detailed information by line of business, which can identify competitors in the marketplace.
Conference research: This research highlights key conferences by topic. This data can be used to identify conferences you may wish to attend or participate in through speaking opportunities or exhibits. State Profiles: We understand the amount of knowledge that is needed to make informed business decisions. Our state profiles consist of a compilation of facts and figures, regulatory and industry issues, and trends for specific states and lines of business. These reports can assist you to evaluate the marketplace for specific lines of business in designated states as well as to launch marketing/sales campaigns. You will understand the insurance environment before entering a state.
We perform our research using data provided by key industry sources, including A.M. Best, Conning Research and Consulting, SNL Financial and more.
Whether you seek growth in new markets or specialized lines,
need to get a handle on undesirable loss ratios, your Munich Re
underwriting team is a valuable resource for comprehensive analysis
of your underwriting operations.
Our underwriters have extensive primary and alternative market underwriting and management experience and are intimately familiar with the underwriting, marketing and loss control operations of all types of insurance entities. The majority of our staff hold professional designations such as CPCU, ARM, and ARe.
Our underwriting review services are customized to address your specific circumstances and needs. After meeting with you to identify your needs, we will conduct a review that includes management interviews and a thorough review of your files, underwriting guidelines and authority levels. The result is an in-depth report that details our findings and includes recommendations for improvements. Our advisors are also available to assist you in implementing their recommendations. Our goal is to offer creative ideas to help you maximize marketing opportunities and improve your loss picture.
Reinsurance accounting and reporting
requirements may be difficult to manage, so
it is not unprecedented that errors
and omissions occur in
the administration of
the reinsurance agreement. Errors and
omissions that remain undiscovered for a period of time (i.e.
spanning more than one calendar year) can have a destabilizing
effect on the ceding company’s net
The design, implementation and testing of controls requires a deep understanding of reinsurance. Munich Re’s professional Account Services team, each member having over 15 years of transactional review experience, follows a systematic approach to evaluating the relevant transactions.
A summary of procedures required for a thorough transactional review includes:
© Copyright 2015 Munich Reinsurance America, Inc. All Rights Reserved.
This publication is available exclusively to Munich Re clients. Please contact your Client Manager.