Group life and income protection modelling

Making sure you’re paying the right price for group risk cover

It’s important to know that you are still paying a fair and reasonable price for your group life and income protection policies, particularly if you have been with the same insurer for some time.

We benchmark and challenge insurer pricing on group life and income protection by comparing and contrasting what an employer would typically pay for the level of service and cover being provided.

We can also model and illustrate the potential impact of any changes to benefit plan design, such as the introduction of a limited income protection term (e.g. 5 years and a lump sum payment instead of payment all the way to retirement age).

We use sophisticated Monte Carlo volatility analysis to simulate next year claims costs based on predicted death rates and illustrate the risk exposure with predicted confidence levels (e.g. the annual claims bill is most likely to be £5m but there is a 10% chance that it might be £50m).

The analysis is also useful for clients considering a move to self-finance their benefit provision.