Aaron N. Hillebrandt
Joseph A. Herbers
Robert J. Walling III
Derek W. Freihaut
Timothy C. Mosler
Laura A. Maxwell
It is truly refreshing to have Pinnacle as our actuary firm.
Pinnacle actuaries have real world experience
addressing issues related to allocating capital for pricing and associated profitability
Pinnacle’s team of highly qualified actuaries has experience in all areas of capital modeling, ranging from regulatory perspectives and rating agency models to models reflecting individual company risk and reward preferences.
Pinnacle actuaries have been leaders in Dynamic Financial Analysis and other forms of stochastic financial modeling for over 15 years.
Pinnacle actuaries are experts in identifying how risks interact and aggregate and in developing methods for quantifying and mitigating these aggregations.
Pinnacle understands the dynamics behind the risk-reward trade-off and can help you properly evaluate which risks are worth pursuing.
Enterprise Risk Management (ERM) is a critical component of increasing your organization’s value by assessing, controlling, exploiting, financing and monitoring risk. The importance of ERM is self-evident due to the demands for information by rating agencies, regulators and financing institutions. While economic capital modeling is an essential element of ERM, it is only part of the process and not sufficient in and of itself.
At Pinnacle, we recognize the “M” in ERM stands for "Management", not models.
We can assist you in the initial review, design and documentation of internal economic capital models and marginal pricing frameworks. Our holistic approach to ERM will help you to document your organization’s due diligence regarding ERM to interested parties.
Our expertise and insight comes from decades of tailoring specific solutions that meet the ERM needs of a wide range of entities and organizations:
We work with insurers and reinsurers on a variety of ERM projects, including:
We work with asset managers to develop models that optimize asset allocations and that help to match the durations of assets and liabilities.
Issues such as aggregation of risk, capital modeling and risk control procedures are all receiving considerable attention by regulators. Pinnacle works with a wide range of clients on these and other ERM issues and is well qualified to assist regulatory bodies in these matters.
Pinnacle helps self insured entities analyze their entire cost of risk associated with the selected retention option. We can analyze various retention levels for a self insurance plan in an effort to maximize the benefit of the plan while focusing on the risk appetite of the entity.
Pinnacle has vast experience assisting government insurance entities with ERM projects. Typically this would involve DFA analyses and other studies regarding capital adequacy and reinsurance structures.
Pinnacle’s expert staff helps public entities all over the United States in analyzing their exposures, liabilities, and risk management procedures in a cost effective way.
Determining Risk Distribution
Best's Review Issues & Answers
Authored by Derek W. Freihaut.
5 Changes in Your Risk Profile Your Actuary Wants to Know About
Authored by Aaron N. Hillebrandt.
See More »
A reinsurer wanted to combine the results of their pricing and reserving models for individual treaties - from diverse lines of business and treaty structures - to produce an annual return distribution for the company. This was a part of their ERM framework and the genesis of their economic capital modeling process. After reviewing treaty wordings and pricing and reserving models, we designed a model that reflected dependency amongst the treaties and produced an annual return distribution. Furthermore, the model was designed to allow users of the model output to easily see how sensitive the results were to the assumed dependency structures.
Risk Management Assessment
Pinnacle was asked by a state department of corrections to provide a comprehensive, independent review of the adequacy of their property and casualty insurance plan. The independent insurance plan review was necessary for compliance purposes with state insurance regulators. The facility had even stricter self-imposed standards for their insurance plan. It was Pinnacle’s job to review the guidelines for reasonableness and appropriateness as part of an overall risk management strategy. Pinnacle reviewed and adhered to the state code as well as the additional standards provided by the facility. Moving through each line of insurance coverage, Pinnacle offered recommendations and approval notations. The result was an increased level of risk control for the facility, and subsequently led to a follow up review by Pinnacle at the next required consultation.
Self Insured Dividend / Assessment Analysis
A large group self insurance program was concerned with the amount of retained earnings and wanted to establish a policy for the minimum capital for the program to trigger dividend distributions. Pinnacle compared the program’s capitalization to a wide variety of industry standards for similar programs from rating agencies, regulators, and other sources. The results of this analysis lead to a recommended board policy regarding a minimum capital threshold for dividend distributions and ultimately to the development of an actuarially sound dividend distribution plan.
At Pinnacle, we partner with you to explore whatever path it takes to find the answers you need.
September 19, 2021
NAMIC Annual Convention
September 21, 2021
SCCIA Executive Educational Conference