I’m giving another SAM presentation at an Aon Client Day in a couple of hours. I only have 40 minutes so will be cramming in some big ideas into a short space.
Some key messages:
- Internal Models are becoming more problematic and less attractive in the UK as well as SA. Good reasons remain for using them, and some of the work will be required for the ORSA regardless of whether you gave the IM route or not. Overall, the expensive is only justified for those would be using an IM themselves anyway. Reduction in SCR usually a poor reason to go the IM route.
- Many insurers are miles behind on where they need to be to have a quality, compliant ORSA in place in time. This is one of the most valuable parts of SAM yet often the most neglected. You need to start now if you haven’t already. Even a bad start will help, but no start is guaranteed failure.
- SAM will have an impact on insurers, but arguably less so than any of :
- Tax changes
- Treating Customers Fairly
- Binder Regulations
Check it out here -> Aon Client Day SAM update – David Kirk – KPMG – September 2012 (pdf) or see the presentations resource page for this and other presentations.