word associations

[sullyfer]

An Acted tutor pointed out that it's a good plan to have a list of word associations for key words in CA1.

First of all what are the key ones? Secondly what are the key associations?
I appreciate we should be doing this work ourselves, but thought I'd post on here in case I'm missing key words or points.

I have:

Small Company - Lack of capital, diversification, expertise & data. exposed to volatile experience

Large company - economies of scale, in-house expertise, lots data. greater investment freedom.

General Insurer - volatile claims, liquidity issues, reinsurance, competition, underwriting cycle, cross subsidies, claim delays

Life Insurer - Long term, matching, investment freedom, regulation

Overseas - currency risk, political unrest, custodian, poor info, expertise needed, poor regulation

New company - lack of data, expertise, experience. new business strain, need for reinsurance.

Well established company - lots data & past experience. can cope with volatility (smooth profits).

Any help would be much appreciated! I'm finding it quite overwhelming trying to learn the bookwork, never mind everything else on top.

 

[Csimpi]

This is excellent, thanks for posting it.

I was just wondering, but what are the association for a "medium-sized company"?

 

[Mark Willder]

Sullyfer has given an excellent list of word associations below. For example Sullyfer gives the key features by size of company as:

Small Company - Lack of capital, diversification, expertise & data. exposed to volatile experience

Large company - economies of scale, in-house expertise, lots data. greater investment freedom.

I'm afraid there's not an exciting word association for a medium-sized company. A medium-sized company will have more data/experience/capital than a small company, and less than a large company.

You can use word associations in any part of the course, but here are a few to add to Sullyfer's lists:

General insurer - uncertain claim amounts and frequency, moral hazard, liquidity, perils, renewal rates, reinsurance, court awards, catastrophes/concentrations of risk, underwriting cycle, solvency, profits.

Life insurer - mutual or proprietary, mortality/morbidity, selection, underwriting, investment, lapses/surrenders, solvency, profitability.

Defined benefit - sponsor risks (investment, mortality, expenses), regulation, unknown cost, discretionary benefits, maturity of scheme, options, financing methods, predictable/understood benefit, salary link.

Defined contribution - member risks (investment, annuity rates), investment choice, admin charges, flexible, portable, unpredictable benefits, fixed sponsor cost.

Best wishes

Mark