Consultancy and training services in insurance

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Consultancy and training services in insurance

Afi has a team of highly specialised experts in the insurance and pensions industry, offering services organised around the following business lines:

· COMPREHENSIVE ADVISORY SERVICES ON SOLVENCY II

Comprehensive consultancy services for compliance and benchmarking of Solvency 1 II requirements, including support for companies on the new stress test planned by

EIOPA for 2018.

www.afi.es

· AFI HAS ADVISED THE DGSFP ON SOLVENCY II

Spanish Authority of Insurance and Pension Funds (DGSFP) sought Afi's support in terms of knowledge, resources and experience in response to the high level of quantitative expertise and technical and human resources required by the new Solvency II directive.

The expert advice provided by Afi to the DGSFP covered:

Solvency II - Risk management1

Tools (ALM, Asset, Non-Life, Economic Scenario Generator, etc.)

Internal models (Life, Non-Life, Market, Credit, etc.)

Expert Reports (CSA, CDO, Fiduciary Deposits, MBS, VIF monetisation, etc.)

Matching Adjustment (Maximum yield optimiser, etc.)

Support on revision of standard formula with EIOPA

USP (premium, reserves)

Data governance and quality (statistical, governance, IT)

1 Detailed brochure of Solvency II services and tools.

Valuation andrisk tools Analistas

FinancierosInternacionales

Integration of Riskmanagement (ALM)

Insurance DistributionDirective (IDD) / PRIIP

IFRS 17 General Data Protection(GDPR)

Strategic planning

Solvency II - Risk Management

Sectorialstudies

Training

Valuation of companiesand porfolios - corporate

operations

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92

83

74

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· Development of in-house and bespoke tools

4 SCR tool

4 Balance sheet tool

4 ORSA tool

4 ERM Tool - Enterprise Risk Management (Economic Capital)

4 Risk Integrator Tool, enabling automation of company manual processes (generation of Excel input files for SCR, closing of accounts, etc. ORSA, QRTs, etc.), implementation of user-designed controls, etc.

4 AfiNon-Life Risk Tools: Reserving; adjustment of distributions, optimised reinsurance; scenario simulator; aggregation.

4 Regulatory and management ALM tool (asset mix; PB; redemption value at market value, etc.)

4 Profit testing tool

4 Generator and validator of economic scenarios

4 Calculation tool for optimising Matching Adjustment

4 Investment ledger

4 Other bespoke tools for clients

· REVIEW OF SOLVENCY AND FINANCIAL CONDITION REPORT (SFCR):

Review of Solvency and Financial Condition Report on an independent basis.

· SUPPORT IN PREPARING THE STRESS TESTS REQUIRED BY EIOPA:

Guidance in preparing stress tests required by EIOPA depending on different client needs.

www.afi.es

Consultancy and training services in insurance

General

Pilar IIPilar I Pilar III

Expert advisory services on Solvency IIRisk Datamart design and implementationData quality evaluation (Risk Integrator)

Process’ automatization and report

Economic balance:- Technical provisions valuations: Life and non life- Investments valuation cva/dva

SCR:- Generation and validation- Capital optimization

Internal models: - Generation and validation

ORSA:- Tool and methodology- Optimization

Risk appetite framework

Management integration

Governance system:- Key functions- Policies

QRTs:- Information analysis for QRTs

Reporting tool: - Risk Integrator and regulatoryDatamart

RSR and SFCR:- Report elaboration

Valuation and risk tools2

4

www.afi.es

Consultancy and training services in insurance

· MANAGEMENT - ASSETS - LIABILITIES - RISKS

Advice for Asset - Liability - Risk Committees: : Macro analysis, alternative investment proposals, assessment of return, risk and capital consumption, RAROC analysis, etc. Development of bespoke tools.

· CAPITAL MANAGEMENT

Advice on technical and strategic aspects of capital management process: SCR optimisation, Partial Internal Models, issuance of subordinated debt, pre-rating, etc.

· RISK APPETITE FRAMEWORK

Guidance in definition of risk appetite framework and monitoring (i.e. indicators, limits, alerts, etc.), descending cascade of top-down indicators to operational levels, development of tools, etc.

· DESIGN OF NEW PRODUCTS AND PRICING

Advice on the technical and strategic aspects of the process of developing and managing products, profit testing, GLM techniques, neural networks, clustering, cross-selling, etc.

· AD-HOC ADVICE

Integration of risk management - assets - liabilities - risks

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· IDD - LDS

Analysis and support in adapting to the Insurance Distribution Directive (IDD), which enters into force on 01 October 2018.

4 Gap analysis and Adaptation Plan

4 Investment advice tools (Afi Life Steps, Afi Wealth Manager, etc.)

4 Guidance on PRIIPS

4 Training plan

· PRIIPS - KID - IPID

A. Consultancy services for practical application of the PRIIP regulation: packaged retail investment and insurance products:

4 Classification of products offered by company, development of calculations and preparations of corresponding KIDs.

4 Guidance for technical and actuarial departments and implementation of highly complex calculations in insurance with an investment component.

4 External calculation of positions which due to their nature, novelty or individual complexity require ad hoc valuation and risk management models.

4 Connection or implementation with AfiKID.

B. Advice and preparation of key information document (KID) relating to PRIIPs; 2implementation of AfiKID tool:

Insurance Distribution Directive - investment advice - PRIIPs

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2 Detailed AfiKID brochure

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www.afi.es

Consultancy and training services in insurance

· Support in preparing and adapting to IFRS 17; new accounting standard for insurance contracts, potentially entering into force on 1 January 2021.

4 Gap analysis and preparation of IFRS 17 (and IFRS 9) Adaptation Plan.

4 Consulting services on regulatory compliance or for definition, development and implementation of internal and external actuarial/accounting/etc. tools.

4 Programming capabilities applicable to Prophet, MoSes, Matlab, SAS, etc. valuation tools in order to adapt them to IFRS 17 (and IFRS 9).

4 Adaptation of company data marts to IFRS 17 requirements or development of own IFRS 17 data mart and report generation.

4 Guidance for technical, actuarial, financial and systems departments and implementation of calculations.

4 Ad-hoc client advisory services.

New IFRS 17 accounting standard5

C. Advice and preparation of insurance product information document (IPID) relating to Non-Life products.

Product analysis

Results report - KID

Processing of market information

Development of methodology and calculation of return scenarios

· Guidance on adapting to new General Data Protection Regulation (GDPR), which will be compulsory from 25 May 2018.

· Afi has developed the Adago – Afi Data Governance model, which in addition to complying with key aspects of the regulation, adds value by facilitating data

General Data Protection Regulation, GDPR6

Management Control

Project Ofce

Implementation

Internaland externalreporting

ActuarialMethodologiesDataAssumptionsToolsReinsuranceActuarial analysis

Data repository and systems

Final user systems

Other processes

Accounting

Preparation of information, testing, dry runs

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www.afi.es

Consultancy and training services in insurance

· Collaboration in the strategic planning process for bancassurance.

· Preparation of strategic plans and integration of strategic planning in ORSA process. Preparation of feasibility plans.

Strategic planning7

· Valuation of insurance companies: opinions and special official reports, fair value reports, valuation of investments, IPOs, LBOs, etc.

· Advice on corporate operations in bancassurance.

Valuation of companies and portfolios - corporate operations

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· Analysis and comparison of pensions systems at international level: Pension transition, Report on retirement solutions: nature, advantages, advocacy and promotion of annuities in Spain; Study on insurance broker risks for the Peruvian Superintendency of Banking, Insurance and PFAs; definition, design and development of micro-insurance in Latin America and the Caribbean, etc.

Sectoral studies9

· Specialist workshops: Insurance Distribution Directive; PRIIP; IFRS 17.

· Expert Programme in Management of Risks in Insurance, in-company and open courses specialised on insurance.

Training10

For further information or clarification, please contact:

Iratxe Galdeano

E-mail: igaldeano@afi.es

Tel: +34 915 200 106

Web: www.afi.es

Contact

Register of activities Data Protection Impact Assessment (DPIA)

Controls and security measures

Notication of security breaches

• Name and contact details of Headand DPO

• Purpose of processing

• Categories of stakeholders and personal data

• Categories of recipients of personal data

• Transfers to third countries• Planned deadlines for erasing data

• Description of security measures

The person responsible forprocessing data must register at

least:

It is also necessary to specify:

• A governance model (who documents, who updates, etc.)

• A medium where this register will be held

Each initiative involving new data processing will require a risk assessment to be performed,

using a questionnaire containing the following elds:

•A denition of generic and specic controls (according to DPIA); qualitative vs. quantitative controls (absolute or relative), and frequency of execution

•A parametrisation of alerts in case of incidents

•A monitoring dashboard which will be capable of being downloaded as a report

Any security breach must be reported to the Spanish Data Protection Agency (AEPD)

and affected parties within a period of 72 hours from detection

• Templates will be included which are linked to the dashboard alerts and will generate standardised warnings both for the AEPD and affected parties

Monitorization and up to date

Evaluation report

Risk mitigation techniques

Measures related to proof the compliance

Risk evaluation for rights related to interested parties

Treatment description

Treatment needs evaluation

Right’s demand controls

AEPD communication controls

Ÿ Incident description

Ÿ DPO contactŸ Possible

consequencesŸ Mitigation techniques