For group life insurance underwriting business management seminar

Abstract: The group life insurance coverage in the main business and underwriting risk management status, analyzed, discussed how innovative underwriting tools to improve nuclear security management to prevent and reduce the risk of underwriting approach, proposed to promote group personal insured the healthy Development of proposals.

Keywords: group life insurance underwriting management

As the market's rapid Economic Development policy of liberalization and the WTO, China's insurance Industry has made remarkable achievements, group life insurance business is from scratch, from small to big, and gradually developed into a life insurance company's three main channels one business, but the group life insurance underwriting management is lagging behind, how to improve the group life insurance underwriting management level, has become the group life insurance business, the importance of healthy and sustainable Development issues.

1 in a group life insurance coverage in the main business risks
In recent years, the increasingly competitive insurance market, insurance companies competing to increase the group life insurance business Development efforts, group life insurance business has been a rapid Development, but the rapid development of business with cut-throat competition to highlight the growing risk of underwriting,
1.1 insurance program designed to unreasonable risk.

In general, business insurance needs are many and multi-level, for which insurers must use a variety of product design comprehensive insurance programs, if the program is unreasonable, the insurance will be a huge risk, mainly in the following three aspects: First, the excessive concentration of insured individuals, can not be well dispersed, and second, the scope of protection is too broad, so that a substantial increase in compensation, third is a large range of rates to fall, resulting in a serious shortage of premium, which would make up the loss ratio , group life insurance business led to a loss.

1.2 Industry risk and occupational risk
With the development of society, new industries and job after another, the potential risk of different jobs, such as coal, chemicals, construction, ocean transportation Industry risk, the insurance company's job classification in the multi-part "exclusions occupation" Some companies are not members of high-risk Industry, but may be part of the employee's work environment is a high-risk areas, such as field work, high temperature, high voltage operation, etc., because of their high accident rates, easily lead to large claims.

1.3 the risk of adverse selection
Adverse selection risk mainly refers to the insured carried out its own benefit, the insurer and the insured of all adverse selection in a group life insurance business, adverse selection, including two cases, one insured person's risk of adverse selection, often The employees want to risk insured; Second, the policy holder risk of adverse selection, which means higher risk groups strong desire insurance, life insurance practice group of policy holders, the risk of adverse selection than the inverse of the insured individual Select the risk is much more difficult to predict, but also much more difficult to control.

(2) group life insurance underwriting management status
In recent years, group life insurance business has been a rapid development, but the "group insurance group life insurance clients from different industries, their underwriting criteria (rates, special agreement, except liability can be negotiated, so that group life insurance actuarial organization Architecture and sales management are presented with a different risk characteristics, underwriting management is also more complex, there are several problems.

2.1 poor underwriting skills of personnel operations, underwriting, backward
The basic characteristics of group life insurance business is the integrity of single members of the low-reverse-selective, individual insurance needs and conditions can be negotiated underwriting, risk analysis often involves the actuarial, financial, legal and other knowledge, which underwriting staff required to have a high overall quality, but there are many underwriting staff due to its quality and lack of practical experience, can not reasonably flexible risk assessment and pricing, can not take the appropriate risk control measures, affecting the Group Personal insurance and healthy development.

2.2 lack of information is not sufficient empirical data
Group life insurance underwriting data and past experience of the group has a strong dependence on the case, and now is precisely the lack of sources of information, from group insurance point of view, very few units to provide their real situation of the accident in previous years, the insurance companies experience less data, the current group life insurance the insurance company's resources are not shared, which leads to even consider underwriting staff to risk, but the lack of quantitative, empirical data support and can not make appropriate the risk of disposal.

2.3 serious administrative intervention
In the group life insurance business, management and development of the conflict is more prominent, high-risk group for potential life insurance business, companies often forced to lower the premium the higher the pressure the company issued through administrative intervention to force the insurance , group life insurance underwriting value is not reflected.

3. Strengthen the group life insurance underwriting management, innovative underwriting tools to effectively improve the level of underwriting risk control
Domestic and international business development group life insurance group life insurance profitability that the key is whether or not the company's management level, particularly in risk control and the core of the underwriting management, and therefore the current group life insurance business must be innovative underwriting tools, effective to enhance the level of underwriting risk control, so insurance companies in the increasingly fierce competition in the market to achieve stable operation.

3.1 The establishment of training and certification system to improve the quality of the nuclear security force
Group life insurance business of underwriting requirements of the overall quality of staff is relatively high, so the need to establish appropriate training and certification system and do the training of underwriting expertise, and access to the grass-roots company underwriting and underwriting staff levels to hook, This one is conducive to risk exposures and risk analysis capabilities to match, on the other hand but also conducive to reflect the value of underwriting staff. Links to free download http://www.hi138.com 3.2 and groups to develop and implement life insurance pre-underwriting business matching system, the implementation of different underwriting
Group life insurance customers to vary its underwriting conditions (rates, special agreement, except liability can be negotiated and therefore, in the early stages of customer communication personnel should be involved in underwriting, underwriting staff should develop appropriate data collection program, the customer to do a comprehensive analysis of risks, given the risk of price risk management tips and suggestions put forward, of course, according to size, degree of risk involved in the development of depth, but there must be some pre-underwriting mandatory, if you wait until the follow-up phase of the contract by the underwriting staff audit control risk, basically achieve substantive role.

In practice, insurance companies, different organizations within the management level, business structure, market competition and Economic and cultural conditions are different, in different periods of the different business strategies, marketing personnel, quality varies, so the core group life insurance security system, there should be some flexibility for different situations the implementation of different underwriting.

3.3 The emphasis on experience, underwriting data
Historical experience and data in terms of group life insurance underwriting and its importance is self-evident, so the underwriting staff must focus on historical data, to focus on their overall historical data, such as corporate calendar year loss ratio, For a long time and so the movement of persons, not to individual underwriting distracted on the insured person's health status, age, calendar year, the amount of claims and so on.

3.4 The establishment of the system part of the insurance and reinsurance underwriting combination of mechanisms to effectively prevent catastrophic risk
Institutions under the jurisdiction of the insurance companies and their ability to take different payment risk, especially now that more insurance companies to implement short-term insurance business loss ratio, expense ratio fee bundled with the assessment of the case, in the event of a major accident insurance, will result in branch business due to huge claims arising from large fluctuations in order to prevent this from happening, the insurance company's parent body within the part of the security mechanism should be established, that the insurance fund established by the parent company accounts for more than a certain amount of compensation, shared by the parent company Of course, the insurance company for more than the overall capacity of the high-risk business, still have to transfer risk through reinsurance so that part of the system through the establishment of insurance and reinsurance underwriting combination of mechanisms to effectively prevent catastrophic risk.

3.5 full use of modern means of information, a risk analysis system, the implementation of intelligent underwriting
Full use of modern information tools and statistical methods for group life insurance underwriting risk factors to be considered for all quantitative analysis, developed regions, industries, organizations, and the number of participation rate, occupation, age distribution, sex ratio, type of security responsibilities , the sum insured, deductibles, payment ratio, past accident rates or past loss ratio and other factors impact on the degree of potential risk groups, and establish a group life insurance business risk analysis, for underwriting staff in the risk groups assessment or reference pricing, to improve the quality of group life insurance underwriting and timeliness.

References:
1. Zhuangzuo Jin Zhang Hongtao, life insurance Beijing: China Renmin University Press, 2002,
2 Chen et al: <<Development Report of China life insurance>>, China Financial and Economic Publishing House, 2004,
3 Wu Shaoqi: <<On the group insurance market was opened up Chinese-funded insurance company challenges and responses>> "Shanghai Insurance>>, 2005, No. 9
4 Liu exercise: <<troubled group insurance healthy development of factor analysis >>,<< Insurance Study>>, 2005, No. 4
5 Gu Xiaofeng: <<Underwriting Underwriting Management Systems Design and Implementation of >>,<< China's financial computer>>, 2005 3 Links to free download http://www.hi138.com