Personal and Commercial Lines
The Benefits of Good Reserving
Encompassing a wide range of insurance products from motor cover to creditor insurance, personal and commercial lines of business are driven by the need to cut costs and improve service standards, while remaining competitive and profitable. As well as satisfying the requirements of regulatory services by reporting the overall financial wellbeing of a company, reserving is fundamental to understanding the continuing performance of an account: trends can be identified as they emerge and future profitability predicted before claims are even incurred. The symbiotic relationship between pricing and reserving allows business managers to react quickly and to maintain the commercial edge on their competitors.
The Complete Package
With our innovative software, cutting-edge techniques and an unparalleled exposure to the market, EMB is well-placed to provide expert advice through consultation, with great importance placed on the transfer of knowledge to our clients be it in the context of an independent review of reserves or through continuing support of our market-leading reserving software, ResQ Pro. 
Example screenshot from ResQ Pro showing paid development as a percentage of estimated ultimate claims cost for years of origin 1996-2004
Cutting Edge Approach
Today’s industry is a constantly evolving market and the techniques employed at EMB are reflecting this. An example is the requirement of companies to gain a deeper understanding of not just the expected future liabilities, but also on the uncertainty that surrounds this forecast. EMB have long understood this need and our Bootstrapping technology within ResQ Pro allows the variability underlying a reserve estimate to be quickly and easily calculated and communicated, and enables the user to feed this information directly into their ICA models. 
Example screenshot from ResQ Pro showing the development to date, the predicted future development and the probability density range surrounding it for paid claims in origin year 2004.
From a financial point of view, the efficacy of a reinsurance program plays a vital role in the profitability of an account. Our approach here at EMB involves the use of stochastic projection of independent large claims, based on claim size and duration, historical experience and the behavior of the underlying attritional claims. This allows reserving analysts to apply even the most complicated reinsurance program to an account and means that the derivation of expected reinsurance recoveries are directly related to the gross estimates of reserves as well as providing a quantative view of the volatility that surrounds these large claims.
What EMB can Provide
Techniques for Reserving a Personal Lines Book of Business