Swiss Re Ag · SIX:SREN

Swiss Re — 1st Catastrophe Knowledge Exchange (July 2016)

16 slides from Swiss Re's conference presentation, Jul 5, 2016

  1. Slide 1: Make Smart Use of Available Data

    Make Smart Use of Available Data 1st Catastrophe Knowledge Exchange 5. July 2016 - B. Aeberhardt & M. Spörri

  2. Slide 2: Who are we?

    Who are we? Beat Aeberhardt Martin Spörri Head NatCat Tools Group UW Head P&C IT Info Foundation & Smart Analytics Beat_Aeberhardt@Swissre.com Martin_Spoerri@Swissre.com 1st Catastrophe Knowledge Exchange | B. Aeberhardt | M. Spörri 2

  3. Slide 3: Introduction

    Introduction

  4. Slide 4: Where's the smartness in using available data?

    Where’s the smartness in using available data? Large Datasets … deriving new insights by: processing large and full datasets at reasonable speed and cost New combining internal with external data on a ‘good Insights enough’ basis rather than perfect matches, validated through smart plausibility chec

  5. Slide 5: Importance of Data

    Importance of Data Smart usage of available data boosts the performance of an organisation The Problem Internal data is often unused! Tapping into the data boosts financial profit, return on The Impact investment and productivity! Source: "Infographic based on data from Columbia Business School, MIT

  6. Slide 6: What does this mean for NatCat?

    What does this mean for NatCat? • Loads of detailed information on property risks available – used mainly in individual costing process – received data granularity increasing Internal data is often underused! – stored in internal NatCat platform used for costing, RM and capital allocation for all BU

  7. Slide 7: Cluster DB

    Cluster DB NatCat Exposure Data Intelligence

  8. Slide 8: Goal & Motivation - Current situation

    Goal & Motivation - Current situation Incoming Years channels •Broker •Direct •Global vs R&N Same risk is stored multiple times in our system Clients • several clients participate in the same risk participating • we participate on same risk via different channels • through renewals, we receive ‘same

  9. Slide 9: What is a cluster?

    What is a cluster? Detailed Cluster Aggregated Cluster Pre-Cook Key properties of a cluster are: Grid Match Fix Histogram Confidence • Distribution of an attribute value (primary modifiers; Structure types, Occupancy, Design Year, …) • Hierarchies of clusters Lookup & Enrich • Life cycle of a cluste

  10. Slide 10: Where can the Cluster DB be used?

    Where can the Cluster DB be used? Costing Accumulation • Exposure validation & reporting • Supporting risk clearing • Shadow rating in NatCat models • Accumulation of Non-NatCat LoB NatCat models Analytics • Granular building stock improves • Benchmark reports model assumptions for Geo and • Protect

  11. Slide 11: Challenges faced

    Challenges faced •e.g. sample check of Validation important clusters of derived •e.g. validation on Cluster aggregated basis and DB benchmark with external datasets •e.g. wrong allocation of risk objects to False clusters (e.g. positives inconsistent street Size of address information All faced chal

  12. Slide 12: Roadmap

    Roadmap •Geographic extension; CA/FL  USA  Europe  Global Scope •Attribute extensions: more physical properties, insured values and coverages •Extend to other Lines of Business (e.g. Terror, Fire) Models •Owner of physical objects (e.g. company names) Ownership Derived •Market building stock and

  13. Slide 13: Discussion

    Discussion Are you doing something similar? • Do you leverage internal data beside using in the context of costing? • If yes, what are the areas applied? • Do you track individual physical objects over time and across policies? 1st Catastrophe Knowledge Exchange | B. Aeberhardt | M. Spörri 13

  14. Slide 14: Thank you

  15. Slide 15: 1st Catastrophe Knowledge Exchange | B. Aeberhardt | M. Spörri

    1st Catastrophe Knowledge Exchange | B. Aeberhardt | M. Spörri 15

  16. Slide 16: Legal notice

    Legal notice ©2015 Swiss Re. All rights reserved. You are not permitted to create any modifications or derivative works of this presentation or to use it for commercial or other public purposes without the prior written permission of Swiss Re. The information and opinions contained in the presentati

Swiss Re — 1st Catastrophe Knowledge Exchange (July 2016) on 6ix