STREAMLINING OPS TO ACHIEVE IFRS 17 COMPLIANCE

Shanghai Insurer Achieves IFRS 17 Compliance With FIS

In partnership with FIS® and Ernst & Young, a leading joint-venture life insurance company based in Shanghai has extended its use of FIS Insurance Risk Suite (formerly Prophet) to meet the requirements of the IFRS 17 accounting standard.

The company started preparing to implement IFRS 17 in 2019 and brought in Ernst & Young as a technical consultant to help build a new risk model and design a system and process that could help achieve compliance.

As a long-time user of Insurance Risk Suite, the company also decided to upgrade from the FIS Model Developer solution (formerly Prophet Professional) to FIS Enterprise Manager (formerly Prophet Enterprise), which provides a powerful and controlled production environment for actuarial modeling.

Additionally, the firm chose to adopt Insurance Risk Suite’s integrated data management platform so it could more easily transform actuarial results into accounting data.

Ultimately, this extended implementation of Insurance Risk Suite will allow the company to not only meet IFRS 17 requirements, but also improve the performance of calculations and data processing as part of its day-to-day actuarial operation.

Insurance Risk Suite is used by leading insurance companies around the world to provide the functionality and power that modern actuaries need for reserve calculations, solvency testing, pricing and asset-liability management in a single platform. In mainland China, it is the preferred actuarial modeling solution for most life insurance companies and also a popular choice for supporting IFRS 17 projects.

“We have always used Insurance Risk Suite,” said Ryan Yang, the company’s chief actuary. “Based on our great working relationship and mutual trust with FIS and the firm’s continued development of the solution, we chose to continue with Insurance Risk Suite as our actuarial modeling platform and use more of its capabilities to improve our computing power, processes and data management. Now we have successfully completed the project, we know for sure that we made the right decision.”

As a consultant, Ernst & Young's validation of Insurance Risk Suite also gave great confidence to the company’s decision-makers.

Impact

The company not only met IFRS 17 requirements, but also improved the performance of calculations and data processing as part of its day-to-day actuarial operation.