Ch 32: Policy data checks

Question 1

Reason for chapter on policy data checks

Answer 1

• Part of managing risks
• A number of tests may be conducted towards ensuring that data are adequate, accurate and complete. The actuary should ensure that all the data items required are being maintained by the company and can be accessed in the required format.

Question 2

Policy check procedures examine:

Answer 2

• Data movements (reconcile data betwene start and end period)
• Consistency (check numbers are sensible)
• Unusual values (check that they do not exist)
• Analysis of surplus (any unexplained items)