Legaré W. Gresham
Robert J. Walling III
Arthur R. Randolph II
Joseph A. Herbers
Aaron N. Hillebrandt
Roosevelt C. Mosley Jr.
Timothy C. Mosler
Laura A. Maxwell
John E. Wade
Linda K. Brobeck
As always, Pinnacle's work and assistance was excellent.
Pinnacle’s consultants have provided both testimony and expert reports in a wide variety of administrative hearings, lawsuits, arbitrations and other proceedings.
Pinnacle consultants deal with auditors daily, assisting them in serving their customers and evaluating the work products of other actuaries.
Pinnacle’s consultants are experienced in helping
lawyers ask the right questions and understanding the answers in depositions of
other actuarial expert witnesses.
Assessing the reasonableness of indicated loss and loss adjustment expense reserves after the analysis is completed is an essential element of the loss reserve analysis. In particular, measures such as loss ratios, changes since the prior evaluation, implied claim frequencies and severities and costs per unit of exposure are a few of the diagnostic tests employed when considering the reasonableness of indicated reserves.
Management sometimes wishes to reflect the time value of money in funding projections, accruals for unpaid claims liabilities and other valuations. The two most important parameters for doing so are the assumed interest rate and the underlying claim payment pattern. Assessing reasonable values for these parameters is not trivial as the interest rate may need an adjustment for risk while the claim payment pattern may not be readily available.
Pinnacle recognizes that state regulators often walk a tightrope between protecting consumers and encouraging business growth. Whether it’s a need to determine suitability of proposed rates, identify if a company’s loss reserves are actuarially sound, determine if market availability and affordability needs are being met, understand the impact proposed legislation will have on a market or any of a wide range of other requirements, you need a partner with the skills and insights to help you fulfill your responsibilities to your constituents.
Pinnacle has the background and expertise necessary to help you find the right solutions for your toughest challenges. Whether it’s expert testimony, loss reserving, financial modeling and testing, rate filing reviews, assistance with governmental insurance programs or legislative costing and market analysis, we provide an experienced, in-depth and up-to-date knowledge and expertise. More importantly, we understand the intricacies of governmental requirements, including meeting tight timelines and following unique procedures, and strive to communicate complex actuarial topics in plain language.
Our actuaries have worked in state insurance departments and other state agencies as employees and consultants, and are focused on providing you with valuable intelligence that comes from similar work for other regulators. Our industry background includes:
January 2017 APEX Discussion Series
Statements of Actuarial Opinion Year-End 2016
Authored by Joseph A. Herbers and Aaron N. Hillebrandt.
Accounting and Actuarial Services: A Case for Peer Review
Best's Review January 2016 - Issues and Answers
Authored by Derek W. Freihaut.
See More »
Dedicated Fund Review
Pinnacle was asked by a State Insurance Department to review the financial soundness of a State controlled, dedicated fund. The review consisted of establishing the State’s outstanding liabilities and future funding needs. Detailed historic exposure and loss experience were not readily available from the State because the program was administered by individual insurers. Pinnacle designed and conducted an industry data call on behalf of the State. The collected data was then used by Pinnacle in support of their analysis. As the data was still somewhat limited, additional industry data was gathered from other states to supplement Pinnacle’s analysis. Pinnacle then provided the State with a report detailing the determination of the estimated liabilities, the indicated rate changes, and recommendations on data capturing for enhancement on future studies.
Medical Malpractice Damage Caps
A state insurance regulator asked Pinnacle to determine the potential impact of several proposed tort reforms, including a change to non-economic damage caps for medical professional liability claims. Pinnacle worked with medical society to identify the most appropriate claims databases for assessing the potential legislative change. Our detailed analysis not only considered data from that state, but several others to stress test the results and provide a range of reasonable outcomes. In many cases, the specific reform’s effect, for example “I’m Sorry” legislation, was very difficult to isolate. Through this industry analysis, we identified differences well beyond a simple loss limitation to provide a more complete review of potential environmental changes that could be expected in the state.
This comprehensive analysis helped our client identify the effect of various legislative options, which empowered them to be a strong voice in the legislative debate and to influence policymaking in the state.
Rate Filing Review
Pinnacle typically provides state regulators expert review of company and bureau rate change filings. In a recent review of a Company’s automobile rate filing Pinnacle was able to confirm that the filed rates met the State’s rating laws and Department’s filing requirements. Using a procedure developed by Pinnacle specifically to review rate filings, the Company filing was reviewed against generally accepted actuarial principles. The Company was questioned on certain rating procedures and was able to support their procedures and selections with additional documentation to the filing. Pinnacle was then able to affirm to the Regulator that the filed rates were not excessive, inadequate, nor unfairly discriminatory and that the new rates would not produce any major policyholder dislocations. The Regulator was then able to acknowledge the Company’s filing with confidence that the Regulator had carried out his charge of providing service and protection both to consumers and to the insurance industry.
At Pinnacle, we partner with you to explore whatever path it takes to find the answers you need.
October 26, 2017
October Apex Discussion Series -
Captive Insurance Hot Topics
November 02, 2017
Florida Chamber of Commerce Insurance Summit
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Pinnacle is an actuarial firm focused on property/casualty insurance, including alternative markets, captives, self insureds, enterprise risk management, predictive analytics, commercial lines and more. We serve trucking, insurance, health care, medical professional liability, reinsurance, workers compensation, public entities and other companies and concerns.
Our services include expert witness, loss reserving, litigation support, pricing, ratemaking, rate filing, statements of actuarial opinion, feasibility studies, capital modeling and other actuarial services and products.
Phone: (309) 807-2300
Fax: (309) 807-2301
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