2018 Ratemaking Formula Report
|
|
|
- Darcy Heath
- 5 years ago
- Views:
Transcription
1 Prepared for: Florida Hurricane Catastrophe Fund 2018 Ratemaking Formula Report Andrew Rapoport FCAS, MAAA March 21, 2018 Paragon Strategic Solutions Inc. 1
2 Agenda 1. What s New? 2. Overall Indications 3. Ratemaking Overview 4. Premium, Rates and Coverage 5. Other Topics of Interest 6. Recap 7. Questions Page 2
3 1. What s New? Paragon Strategic Solutions Inc. 3
4 What s New? Projected Average Coverage Selection Decrease % in 2017, % in 2018 Exposure Trend Increase 2.76% in 2017, 2.83% in 2018 Pre-Event Note Expense Decrease $44.6 Million in 2017, $27.7 Million in 2018 Reinsurance Costs Set at 2017 levels, options included in formula table Hurricane Catastrophe Models Updated to 2015 Standards 4 of 5 models indicate lower FHCF loss cost rates Page 4
5 2. Overall Indications Paragon Strategic Solutions Inc. 5
6 Overall Indications FHCF Reimbursement Coverage, Rate, Exposure and Premium Avg. Rate (per $1,000) Exposure ($ Billions) Premium ($ Billions) 2017 Actual ,176.9 $ Projected ,238.4 $1.112 % Change -4.16% 2.83% -1.45% Page 6
7 Overall Indications FHCF Reimbursement Coverage, Rate, Exposure and Premium Avg. Rate 90% (per $1,000) Coverage % Avg. Rate (per $1,000) Exposure ($ Billions) Premium ($ Billions) 2017 Actual % ,176.9 $ Projected % ,238.4 $1.112 % Change -2.32% -1.88% -4.16% 2.83% -1.45% Page 7
8 Overall Indications Coverage, Rate, Exposure and Premium Changes by Type of Business Type of Business Rate Exposure Premium Residential -4.70% 3.00% -1.84% Tenants -9.79% 7.00% -3.47% Condos -0.14% 3.50% 3.35% Mobile Home -0.19% 0.00% -0.19% Commercial -1.66% 0.00% -1.66% Total -4.16% 2.83% -1.45% Page 8
9 Overall Indications Coverage, Rate, Exposure and Premium Changes by Type of Business Type of Business 90% Rate Coverage % Rate Exposure Premium Residential -2.18% -2.57% -4.70% 3.00% -1.84% Tenants -9.87% 0.09% -9.79% 7.00% -3.47% Condos 1.71% -1.83% -0.14% 3.50% 3.35% Mobile Home 0.19% -0.38% -0.19% 0.00% -0.19% Commercial -5.38% 3.93% -1.66% 0.00% -1.66% Total -2.32% -1.88% -4.16% 2.83% -1.45% Page 9
10 Overall Indications Rate On Line Changes LIMIT (FHCF) FHCF Layer Change $17,000,000,000 Modeled 6.90% 6.54% -5.19% $17,000,000,000 Actual % 6.54% -1.45% Page 10
11 3. Ratemaking Overview Paragon Strategic Solutions Inc. 11
12 Ratemaking Overview Where Does the FHCF Get Its Funds? Where Do They Go? Investment Income Premium Post event Assessments Operating Expense Financial Products Mitigation Funding Loss & Loss Expense (5%) Balance Premiums are derived from the Ratemaking Formula Page 12
13 Ratemaking Overview 1. Trend 6/30 Prior Year Exposure Data & Send Modelers 2. Combine Results for Industry Excess Loss Costs 3. Add Allocated Loss Adjustment Expenses (5%) 4. Misc. Technical Adjustments Retention & limit Law & ordinance Aggregate wind deductible adjustment Page 13
14 Ratemaking Overview 5. Fixed Loadings Operating expenses Pre-event notes expenses 6. Allocation to Classes Type of business, territory, construction, deductible Re-adjust coverage % for territory changes Page 14
15 2017 Ratemaking Formula Report Ratemaking Overview 7. Rating Classifications for Mitigation Year built Structure opening protection Roof shape 8. Apply Cash Build-up Factor 9. Variable Loadings Reinsurance Page 15
16 4. Premium, Rates and Coverage Paragon Strategic Solutions Inc. 16
17 Coverage Selection Change by Type of Business Residential Tenants Condos Mobile Home Commercial Total Actual % 87.5% 90.0% 90.0% 89.8% 89.9% Actual % 81.1% 84.0% 89.7% 71.4% 81.6% Actual % 77.7% 81.8% 88.9% 61.9% 75.5% Actual % 77.8% 81.6% 89.1% 57.8% 74.5% Projected % 77.9% 80.1% 88.8% 60.1% 73.1% Projected 2018/Actual % 0.09% -1.83% -0.38% 3.93% -1.88% 100.0% FHCF Average Coverage Selection by Year 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% Residential Tenants Condos Mobile Home Commercial Total 0.0% Page 17
18 Premium, Rates and Coverage $1,180 $1,170 $1,160 Components of 2018 Premium Change -1.45% $1,150 $1,157.7 $1,140 $1,130 $1,120 $1,128.5 $1,131.4 $1,131.6 $1,110 $1, Actual Exposure Growth (+$29.2M) Modeled Losses & LAE, Coverage Change (-$26.3 M) Operating Exp. (+$0.2 M) $1,110.5 $1,112.1 Pre Event Note Exp.(-$21.1 M) Reinsurance Cost ($1.6 M) Page 18
19 Premium, Rates and Coverage 1.00% 0.00% -1.00% -2.00% Rate Change Component Impact -2.40% Modeled Loss & Cov. Change 0.02% Operating Expense Change -1.92% Pre Event Notes 0.15% Reinsurance -4.16% Total -3.00% -4.00% -5.00% Page 19
20 The Covered Layer 2017 Actual 2018 Projected 46.1 yrs $ B 47.6 yrs $ B $17 Billion for Loss + LAE % $17 Billion for Loss + LAE % 9.3 yrs $6.790 B 9.9 yrs $7.255 B Retained Retained Page 20
21 Coverage 2017 Actual 2018 Proposed FHCF Retention $6.790 B $7.255 B FHCF Limit $ B $ B FHCF Premium $1.128 B $1.112 B Coverage % % Payout Multiple * Retention Multiples for FHCF Coverage Selections 90% % % *Payout multiple based on 12/31/2017 premium of $1.128 B Page 21
22 Exposure by Type of Business 2018 Exposure Distribution 86.2% 1.3% 4.5% 1.2% 6.8% Residential Tenants Condominium-Owners Mobile Home Commercial Page 22
23 Exposure and Loss by Type of Business 100% 90% 80% 70% 60% 50% 40% 30% Tenants Mobile Home Condominium-Owners Commercial Residential 20% 10% 0% Total Exposure Terr 1-5 (45%) Terr 6-10 (24%) Terr (21%) Terr (6%) Terr (4%) Modeled Loss Page 23
24 Retention History FHCF Retention History $ Billions Target Ratemaking Retention ($B) Actual Retention ($B) Contract Year Page 24
25 Limit History ($B) Proj Retention Mandatory L TICL Limit FHCF Coverage $40 $35 $30 TICL Limit Retention Mandatory Limit Billlions $25 $20 $15 $10 $5 $ Proj Page 25
26 5. Other Topics of Interest Paragon Strategic Solutions Inc. 26
27 Modeled Losses ($ Billions) % Change Modeled Exposure $2,188 $2, % Gross Losses $3.180 $ % FHCF Layer Losses $0.817 $ % Loss Cost per $1, % Page 27
28 Modeled Losses Gross Single Event Severity Distribution Adjusted to 2018 Exposure Level $60 $55 $50 $45 $40 $35 FHCF Layer Loss ($B) $30 $25 $20 $ $10 $5 $ Return Time (Years) Page 28
29 Retention Limit Adjustment 03/01/2018 Update $18,000,000,000 $16,000,000,000 $14,000,000,000 $12,000,000,000 $10,000,000,000 $8,000,000,000 $6,000,000,000 $4,000,000,000 $2,000,000,000 Aggregate Actual Liabilities Average(AIR,RMS) Industry Aggregate Average(AIR,RMS) Company Retention Limit Aggregate $ Return Time Page 29
30 Expense for Pre-Event Notes Florida Hurricane Catastrophe Fund Addendum to the 2018 Ratemaking Formula Report Pre-Event Note Expense Loading Contract Term : 6/01/2018 to 5/31/ A Projected Debt Service 2016A Projected Debt Service Total Debt Service Net Cost Reimbursement Deposit Premium 14,000,000 7,000,000 21,000,000 2 Average Market Value 1,041,095,890 1,200,000,000 2,241,095,890 3 Exp. Default Loading % 0.3% 0.3% 4 Exp. Default Cost (2)*(3) 3,123,288 3,600,000 6,723,288 5 Total Projected Liquidity Facility Cost (1)+(4) 17,123,288 10,600,000 27,723,288 Notes - This method uses values projected by the FHCF's Financial Advisor, Raymond James (01/11/2018 for 2013A); (1/11/2018 for 2016A); plus a judgmental loading for potential asset loss. - $500 million of $1.5 billion 2013A Bonds come due on 7/1/2018. Page 30
31 Interest Rate Assumption 0.0% 10.0% Monthly FHCF Investment Returns 5.0% Investment Yield 0.0% 6/30/94 6/30/96 6/30/98 6/30/00 6/30/02 6/30/04 6/30/06 6/30/08 06/30/10 06/30/12 06/30/14 06/30/16-5.0% -10.0% Actual Yield Invest. Assumption -15.0% -20.0% Page 31
32 Interest Rate Assumption 0.0% 8.0% Monthly FHCF Investment Returns 7.0% 6.0% 5.0% Investment Yield 4.0% 3.0% 2.0% 1.0% Actual Yield Invest. Assumption 0.0% 6/30/94 6/30/96 6/30/98 6/30/00 6/30/02 6/30/04 6/30/06 6/30/08 06/30/10 06/30/12 06/30/14 06/30/16-1.0% -2.0% Page 32
33 Mitigation Rating Factors Rating Factor Description Commercial Type of Business Mobile Residential Home Tenants Condos Year Built Roof Shape 2012 or later or Earlier Unknown or Mobile Home Hip, Mansard, or Pyramid Gable, Other or Unknown Opening Protection Structure Opening Protection** No Structure Opening Protection On Balance Factor **Structure Opening Protection Credit requires that primary policy has structure opening protection credit. Page 33
34 Loadings and Factors Adjustment Adj. to Gross Losses 4.23% 4.28% Post-model 5.0% 5.0% Retention + Limit 0.572% 0.299% Investment Income 0.0% 0.0% Operating Expense $7,748,000 $7,932,277 Pre Event Note Expense $44,600,000 $27,723,288 Reinsurance (Premium net of ceded loss) $28,918,819 $30,524,968 Page 34
35 Proposed 2018 Rating Territories Proposed 2018 Rating Territories Not Rated Page 35
36 Proposed 2018 % Rate Change by Zip Code Percent Change < -15% -15% to -10% -10% to -5% -5% to 0% 0% to 5% 5% to 10% 10% to 15% > 15% Page 36
37 Indicated Zip Code Shifts by Year Zip Count Zip Count Zip Count Zip Count Zip Count Zip Count Zip Count Zip Count Zip Count Zip Count Zip Count Zip Count Shift Up 1Terr Stayed the Same Shift Down 1 Terr Grand Total The table below outlined how the Modeled Residential exposure, after tempering, has moved relative to last year's territory allocations and 2018 indicated shifts were not implemented, except if the indication was for a change of two or more territories. Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Residential Exposure Shift Up 1Terr 424,239,189,098 1,052,071,843,315 95,153,867, ,793,850, ,354,576,503 1,034,102,124, ,982,310, ,372,324, ,038,689,041 30,355,393,045 3,067,928,183 4,633,160,184 Stayed the Same 876,709,520, ,189,825, ,246,787,074 1,329,194,622,054 1,068,072,705, ,624,555, ,054,403,377 1,064,750,757, ,963,061, ,059,146, ,648,180, ,085,060,259 Shift Down 1 Terr 194,377,582,850 39,769,466, ,485,686, ,788,837, ,251,133, ,042,393, ,657,288, ,116,842,049 9,470,255, ,630,004, ,323,398, ,323,942,820 Grand Total 1,495,326,292,877 1,644,031,135,044 1,591,886,341,123 1,623,777,310,369 1,568,678,414,996 1,540,769,074,140 1,504,694,002,832 1,469,239,924,466 1,505,472,006,014 1,552,044,543,911 1,628,039,507,746 1,674,042,163,263 1,800,000,000,000 1,600,000,000,000 1,400,000,000,000 1,200,000,000,000 1,000,000,000, ,000,000, ,000,000,000 Shift Down 1 Terr Stayed the Same Shift Up 1Terr 400,000,000, ,000,000, Page 37
38 % Rate Changes for 2018 % Change in Rates Maximum Decrease % Minimum Decrease -1.43% Percentage of Residential Percentage of Residential Exposure Percentage of Threshold Count of ZIP Zip Codes in Exposure Res Exposure in Risk Counts Risk Counts in From To Codes Group (in 000's) Group (Houses) Group Less Than -15% % 6,887, % 13, % -15% -10% % 21,691, % 39, % -10% -5% % 747,654, % 1,770, % -5% 0% % 897,808, % 2,023, % 0% 5% % % % 5% 10% % % % 10% 15% % % % Greater Than 15% % % % % 1,674,042, % 3,846, % New ZIP Codes in % % % % 1,674,042, % 3,846, % Page 38
39 6. Recap Paragon Strategic Solutions Inc. 39
40 History of Components (Supplemental Versions) Discounted Loss 990,619, ,000, ,038, ,475,818 1,073,304,022 1,023,717, ,570, ,610, ,345, ,274, ,237,227 Operating Expense 82,136,065 65,463,190 64,889,850 55,642,505 21,910,834 39,000,556 43,140, ,128, ,323, ,848,000 96,655,565 Cash Build Up 0 51,623, ,092, ,067, ,042, ,679, ,177, ,934, ,792, ,405, ,223,198 Modeled Premiums 1,072,755,114 1,084,086,503 1,156,021,171 1,181,186,071 1,314,257,827 1,328,398,044 1,275,888,380 1,214,674,191 1,157,461,089 1,175,527,673 1,112,115,989 Investment Discount 127,479,463 88,670,499 78,563,624 45,594, Modeled Undiscounted Premiums 1,200,234,577 1,172,757,002 1,234,584,795 1,226,780,830 1,314,257,827 1,328,398,044 1,275,888,380 1,214,674,191 1,157,461,089 1,175,527,673 1,112,115,989 1,600,000,000 Modeled Premiums Modeled Undiscounted Premiums 1,600,000,000 1,400,000,000 1,200,000,000 1,400,000,000 1,200,000,000 1,000,000, ,000,000 Cash Build Up Operating Expense 1,000,000, ,000,000 Cash Build Up Operating Expense 600,000,000 Discounted Loss 600,000,000 Investment Discount 400,000, ,000,000 Discounted Loss 200,000, ,000, Page 40
41 Overall Indications FHCF Reimbursement Coverage, Rate, Exposure and Premium Avg. Rate 90% (per $1,000) Coverage % Avg. Rate (per $1,000) Exposure ($ Billions) Premium ($ Billions) 2017 Actual % ,176.9 $ Projected % ,238.4 $1.112 % Change -2.32% -1.88% -4.16% 2.83% -1.45% Page 41
42 Overall Indications Coverage, Rate, Exposure and Premium Changes by Type of Business Type of Business 90% Rate Coverage % Rate Exposure Premium Residential -2.18% -2.57% -4.70% 3.00% -1.84% Tenants -9.87% 0.09% -9.79% 7.00% -3.47% Condos 1.71% -1.83% -0.14% 3.50% 3.35% Mobile Home 0.19% -0.38% -0.19% 0.00% -0.19% Commercial -5.38% 3.93% -1.66% 0.00% -1.66% Total -2.32% -1.88% -4.16% 2.83% -1.45% Page 42
43 Overall Indications Rate On Line Changes LIMIT (FHCF) FHCF Layer Change $17,000,000,000 Modeled 6.90% 6.54% -5.19% $17,000,000,000 Actual % 6.54% -1.45% Page 43
44 7. Questions Paragon Strategic Solutions Inc. 44
45 Questions Page 45
2019 Ratemaking Formula Report
Prepared for: Florida Hurricane Catastrophe Fund Andrew Rapoport FCAS, MAAA Jared Brown, ACAS March 19, 2019 Paragon Strategic Solutions Inc. 1 Agenda 1. What s New? 2. Overall Indications 3. Ratemaking
Florida Hurricane Catastrophe Fund 2005 Ratemaking Formula Report. March 16, 2005
Florida Hurricane Catastrophe Fund 2005 Ratemaking Formula Report March 16, 2005 Agenda 1. Ratemaking Overview 2. What s s New? 3. Sample Policy Changes 4.. Other Topics of Interest 5. Recap 6. Questions
Financial Services Commission
Financial Services Commission Florida Office of Insurance Regulation Annual report of aggregate net probable maximum losses, financing options, and potential assessments February 2009 Table of Contents
Florida Hurricane Catastrophe Fund. Annual Report of Aggregate Net Probable Maximum Losses, Financing Options, and Potential Assessments
Florida Hurricane Catastrophe Fund Annual Report of Aggregate Net Probable Maximum Losses, Financing Options, and Potential Assessments February 2016 Table of Contents Purpose and Scope 3 Introduction
Florida Hurricane Catastrophe Fund
Florida Hurricane Catastrophe Fund Property & Casualty Insurance Reform Committee August 8, 2006 1 What is the FHCF? State Tax-Exempt Trust Fund created by the Florida Legislature for the purpose of providing
Financial Services Commission. Annual report of aggregate net probable maximum losses, financing options, and potential assessments
Financial Services Commission Annual report of aggregate net probable maximum losses, financing options, and potential assessments Table of Contents Page number Purpose and Scope 3 Introduction 3 Aggregate
Potential Assessments from Florida Hurricanes
April 2, 2012 Potential Assessments from Florida Hurricanes Office of the Insurance Consumer Advocate State of Florida Prepared by: Stephen A. Alexander, FCAS, MAAA TABLE OF CONTENTS SCOPE... 3 LIMITATIONS...
Citizens Property Insurance Corporation Financial Overview
Citizens Property Insurance Corporation Financial Overview Barry Gilway President, CEO and Executive Director Financial Overview YTD Change Change Financial Summary (in billions) Q3-2016 2015 2014 Accounts
Homeowners & Dwelling/Fire Rate Filings & Rate Collection System
2014 Industry Conference Navigating the Changing Insurance Environment Homeowners & Dwelling/Fire Rate Filings & Rate Collection System Robert Lee, Actuary, Property Casualty Product Review Kayne Smith,
Florida Hurricane Catastrophe Fund 2018 Data Call
Florida Hurricane Catastrophe Fund 2018 Data Call Instruction Sheet Each authorized insurance Company writing Covered Policies in the state of Florida is required to pay a Reimbursement Premium to the
Update Belinda Miller Acting General Counsel
Florida Property Insurance Market Update 2011 Belinda Miller Acting General Counsel FLORIDA INSURED RESIDENTIAL PROPERTY EXPOSURE 2,500,000,000,000 2,000,000,000,000 1,500,000,000,000 000 000 000 1,000,000,000,000
Florida Hurricane Catastrophe Fund Financing Observations and Perspective Presented to Summer Insurance Symposium June 2, 2009 Destin, Florida
Florida Hurricane Catastrophe Fund Financing Observations and Perspective Presented to 2009 Summer Insurance Symposium June 2, 2009 Destin, Florida Introduction John Forney, CFA Managing Director, Public
What Makes a Good Florida Rate Filing?
2016 CAS RPM Seminar What Makes a Good Florida Rate Filing? Kayne M. Smith, Actuary Florida Office of Insurance Regulation March 16, 2016 2 What Makes a Good Florida Rate Filing? 1)Know and Follow the
NORTH CAROLINA HOMEOWNERS INSURANCE
NORTH CAROLINA HOMEOWNERS INSURANCE SECTION A - SUMMARY OF REVISION Statewide Rate Level Changes... A-2 Indicated and Filed Rate Level Changes by Territory... A-3 Calculation of Rebased Current Manual
NORTH CAROLINA HOMEOWNERS INSURANCE
SECTION A - SUMMARY OF REVISION Statewide Rate Level Changes... A-2 Indicated and Filed Rate Level Changes by Territory... A-3 Calculation of Filed Base Rates by Territory... A-4 Determination of Rates
Account History and Characteristics Citizens Property Insurance Corporation. March 2016
History and Characteristics Citizens Property Insurance Corporation March 2016 Timeline of Citizens s FWUA FPCJUA FPCJUA merges with Citizens Property Insurance Corporation High-Risk Lines Lines PCJUA
2012 RECAP AND 2013 QUARTERLY REVIEW. May 2013
2012 RECAP AND 2013 QUARTERLY REVIEW May 2013 2012 YEAR IN REVIEW Citizens started 2013 in its strongest financial position, with year-end surplus of $6.3 billion and total claims-paying capacity from
FLORIDA HURRICANE CATASTROPHE FUND (FHCF) EXPOSURE EXAMINATION CONTRACT YEAR 2018 ADVANCE PREPARATION INSTRUCTIONS
FLORIDA HURRICANE CATASTROPHE FUND (FHCF) EXPOSURE EXAMINATION CONTRACT YEAR 2018 ADVANCE PREPARATION INSTRUCTIONS The following instructions are provided to help your Company prepare for the FHCF s examination.
Florida Hurricane Catastrophe Fund
Florida Hurricane Catastrophe Fund Advisory Council Meeting May 18, 2017 Introductory Comments 2 1. Meeting called to order & opening comments Floyd Yager, Chair 2. Roll call Floyd Yager, Chair 3. Approval
Presentation to the LRC Study Committee on Property Insurance Rate Making. By the. North Carolina Rate Bureau. December 1, 2011
Presentation to the LRC Study Committee on Property Insurance Rate Making By the North Carolina Rate Bureau December 1, 2011 1 Purpose The purpose of this presentation is to inform, educate, provide facts
Florida Hurricane Catastrophe Fund
Florida Hurricane Catastrophe Fund Advisory Council Meeting May 17, 2018 Introductory Comments 2 1. Meeting called to order & opening comments David Walker, Chair 2. Roll call David Walker, Chair 3. Approval
Homeowners (HO) & Dwelling Fire (DF) Rate & Rule Presentation
2008 OIR Filing and Compliance Symposium Homeowners (HO) & Dwelling Fire (DF) Rate & Rule Presentation Robert Lee, Actuary Ken Ritzenthaler, Actuary 1 Introduction Few Rate Collection System (RCS) changes
Section A Summary of Revision
NORTH CAROLINA DWELLING INSURANCE Section A Summary of Revision Statewide Rate Level Changes. A-1 Filed Territory Rate Level Changes by Class... A-2 NORTH CAROLINA DWELLING INSURANCE Rate Level Summary
Catastrophe Reinsurance Program Effective June 1, 2017 to May 31, 2018
Catastrophe Reinsurance Program Effective June 1, 2017 to May 31, 2018 Northbrook, Ill., August 1, 2017 In the second quarter of 2017, we completed the placement of our 2017 personal lines catastrophe
THE EVOLUTION OF CATASTROPHE MODELS AND
SERA Charleston, SC THE EVOLUTION OF CATASTROPHE MODELS AND THE REGULATORY IMPLICATIONS OFTHEIR USE April 2015 Richard Piazza Chief Actuary Louisiana Department of Insurance 1 Warning to Regulators! Don
REI-2: Incorporating Reinsurance Costs and Risk Loads into Personal Lines Rates
REI-2: Incorporating Reinsurance Costs and Risk Loads into Personal Lines Rates Rade T. Musulin Vice President Operations, Reinsurance, & Public Affairs Florida Farm Bureau Insurance Companies CAS Ratemaking
Florida Hurricane Catastrophe Fund
Florida Hurricane Catastrophe Fund 2018/2019 Member Handbook June 2018, Edition 21 Hurricane Irma Source: NASA Table of Contents Page Introduction 1 Purpose 1 Organization 1 Financial Structure 1 Covered
ENROLLED 2013 Legislature CS for SB 1770, 3rd Engrossed
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 An act relating to property insurance; amending s. 215.555, F.S., relating to the Florida Hurricane Catastrophe Fund; revising
Depopulation Program Analysis. September 6, 2012
Depopulation Program Analysis Depopulation Committee September 6, 2012 Background Unlike a private insurer, Citizens does not have the ability to manage its book of business Citizens accepts most risks
Structure Considerations
Citi 2013 C it l Citizens 2013 Capital Structure Considerations FINANCIAL GOALS & OBJECTIVES Citizens primary financial goals are to: Establish adequate liquidity mechanisms to meet cash flow needs associated
Citizens Property Insurance Corporation. Annual Report of Aggregate Net Probable Maximum Losses, Financing Options, and Potential Assessments
Citizens Property Insurance Corporation Annual Report of Aggregate Net Probable Maximum Losses, Financing Options, and Potential Assessments February 2018 Table of Contents Purpose and Scope 1 Introduction
Catastrophe Reinsurance Program Effective June 1, 2018 to May 31, 2019
Catastrophe Reinsurance Program Effective June 1, 2018 to May 31, 2019 Northbrook, IL, May 2, 2018 In the first quarter of 2018, we substantially completed the placement of our 2018 catastrophe reinsurance
Citizens Property Insurance Corporation. Annual Report of Aggregate Net Probable Maximum Losses, Financing Options, and Potential Assessments
Citizens Property Insurance Corporation Annual Report of Aggregate Net Probable Maximum Losses, Financing Options, and Potential Assessments February 2017 Table of Contents Purpose and Scope 1 Introduction
History of Hurricane Strikes in Florida Reveals Luck is Not on Our Side Cat Fund Much Stronger Than This Time Last Year
White Paper History of Hurricane Strikes in Florida Reveals Luck is Not on Our Side A Florida Insurance Council White Paper The Florida Insurance Council P.O. Box 13696 Tallahassee, FL 32317-3686 (850)
FLORIDA HURRICANE CATASTROPHE FUND (FHCF) EXPOSURE EXAMINATION CONTRACT YEAR ADVANCE PREPARATION INSTRUCTIONS
Company: Date of Examination: Advance Records Due: FLORIDA HURRICANE CATASTROPHE FUND (FHCF) EXPOSURE EXAMINATION CONTRACT YEAR 20152016 ADVANCE PREPARATION INSTRUCTIONS The following instructions are
Brief history of My Safe Florida Home Certification of Inspectors Inspection Process How Homeowners Access Discounts RMS Analysis
Brief history of My Safe Florida Home Certification of Inspectors Inspection Process How Homeowners Access Discounts RMS Analysis Florida Legislature created My Safe Florida Home to: Help Floridians better
Citizens Property Insurance Corporation. Jennifer Montero Chief Financial Officer June 2017
Citizens Property Insurance Corporation Jennifer Montero Chief Financial Officer June 2017 Citizens Policy Count Stabilizing Notes: 1) 2017 policy counts and exposure removed are as of April 18, 2017 2)
RHODE ISLAND JOINT REINSURANCE ASSOCIATION
RHODE ISLAND JOINT REINSURANCE ASSOCIATION Two Center Plaza Boston, Massachusetts 02108-1904 (800)851-8978, FAX (617)557-5675 June 13, 2016 TO: All Rhode Island Producers Personal Liability Supplement
FLORIDA COMMISSION ON HURRICANE LOSS PROJECTION METHODOLOGY
July 26, 2016 131 Dartmouth Street, 4 th Floor Boston, MA 02116-5134 On July 7, 2016, AIR requested the Florida Commission on Hurricane Loss Projection Methodology consider the updated software version
Reinsurance Market Update June 1 - Florida
Reinsurance Market Update June 1 - Florida Catastrophe reinsurance renewal pricing covering risks in Florida at June 1 increased by 10 to 15 percent. The June 1 renewal date is most significant in the
Homeowners Ratemaking Revisited
Why Modeling? For lines of business with catastrophe potential, we don t know how much past insurance experience is needed to represent possible future outcomes and how much weight should be assigned to
Side by Side: House and Senate Property Insurance Reform Proposals HB Sec
Authorizes OIR to require insurance companies to provide Sec. 17 Same as House Sec. 33 A1 Loss Reporting greater hurricane loss reporting information. p.19 Line 516 p.164 Line 26 Requires a senior officer
CHAPTER Committee Substitute for Senate Bill No. 2498
CHAPTER 2007-90 Committee Substitute for Senate Bill No. 2498 An act relating to hurricane preparedness and insurance; amending s. 163.01, F.S.; correcting a cross-reference; amending s. 215.555, F.S.;
2014 Risk Transfer Analysis
2014 Risk Transfer Analysis April 2014 Funding Hurricane Losses In terms of hurricane losses, Citizens meets its policyholder obligations through the following three funding mechanisms: Internal Surplus
Citizens Property Insurance Corporation
Citizens Property Insurance Corporation Presentation ti to the Financial i Services Commission i Barry Gilway, President/CEO and Executive Director June 26, 2012 An Historical Look at Citizens Growth by
CHAPTER Committee Substitute for House Bill No. 1-A
CHAPTER 2007-1 Committee Substitute for House Bill No. 1-A An act relating to hurricane preparedness and insurance; amending s. 163.01, F.S., relating to the Florida Interlocal Cooperation Act; redefining
March 21, 2011 Scott Romito, FCAS, MAAA Chief Actuary Louisiana Citizens Property Insurance Corporation
March 21, 2011 Scott Romito, FCAS, MAAA Chief Actuary Louisiana Citizens Property Insurance Corporation The Casualty Actuarial Society is committed to adhering strictly to the letter and spirit of the
Florida Hurricane Catastrophe Fund
1 Florida Hurricane Catastrophe Fund Advisory Council Meeting October 9, 2003 2 Introductory Comments Administrative Matters: -- Meeting scheduled from 9:00 a.m. until 4:00 p.m., 15 minute break at 10:30
REIMBURSEMENT CONTRACT. Effective: June 1, 2017 (Contract) between. «Legal_Name» (Company) NAIC # «NAIC_»
REIMBURSEMENT CONTRACT Effective: June 1, 2017 (Contract) between «Legal_Name» (Company) NAIC # «NAIC_» and THE STATE BOARD OF ADMINISTRATION OF THE STATE OF FLORIDA (SBA) WHICH ADMINISTERS THE FLORIDA
Overview of the Florida Hurricane Risk Market. Florida Office of Insurance Regulation August 24, 2005
Overview of the Florida Hurricane Risk Market Florida Office of Insurance Regulation August 24, 2005 Purpose Hurricane Risk is what makes the Florida Property Insurance Market Unique and why this Task
FROM: Director, Worldwide Markets EXTN: DATE: 23 December 2004 REF: Y3473. Florida: Forthcoming Act relating to Insurance Deductibles
FROM: Director, Worldwide Markets EXTN: 5998 DATE: 23 December 2004 REF: Y3473 SUBJECT: SUBJECT AREA(S): ATTACHMENTS: Florida: Forthcoming Act relating to Insurance Deductibles Contracts insuring residential
President s Report. Board of Governors December 10, 2014
President s Report Board of Governors December 10, 2014 NOTES: 1. Storm Risk is as measured by 100-year probable maximum loss (PML) plus estimated loss adjustment expenses using the Florida Hurricane
Citizens Property Insurance Corporation Sharon A. Binnun, CPA
Senate Banking and Insurance Committee Citizens Property Insurance Corporation Sharon A. Binnun, CPA October 4, 2011 What is Citizens? A State-created, not-for-profit, tax-exempt governmental entity whose
Considerations When Developing Actuarially Sound Rates for Lender Placed Property Insurance
Considerations When Developing Actuarially Sound Rates for Lender Placed Property Insurance Sheri L. Scott, FCAS, MAAA Consulting Actuary, Milliman Inc. NAIC August 9, 2012 Meeting Discussion Topics 1.
OFFICE OF INSURANCE REGULATION
OFFICE OF INSURANCE REGULATION I-FILE WORKFLOW SYSTEM Date: 11/03/2009 6:12 PM Filing Number: 09-18479 Request Type: Original Only Page 1 CITIZENS PROPERTY INSURANCE CORPORATION 101 NORTH MONROE STREET,
Executive Summary. Annual Recommended 2019 Rate Filings
1 Page Annual Recommended 2019 Rate Filings As required by statute, Citizens has completed the annual analysis of recommended rates for 2019. The Office of Insurance Regulation uses this information as
Florida Hurricane Catastrophe Fund
State Board of Administration Florida Hurricane Catastrophe Fund Financial and Political Impact of Hurricane Irma RAA Cat Risk Management Conference February 13, 2018 WHAT IS THE FHCF? State Tax-Exempt
Making the Most of Catastrophe Modeling Output July 9 th, Presenter: Kirk Bitu, FCAS, MAAA, CERA, CCRA
Making the Most of Catastrophe Modeling Output July 9 th, 2012 Presenter: Kirk Bitu, FCAS, MAAA, CERA, CCRA Kirk.bitu@bmsgroup.com 1 Agenda Database Tables Exposure Loss Standard Outputs Probability of
Office of Insurance Regulation
House Committee on Insurance September 13, 2005 Presentation by Insurance Commissioner, Kevin McCarty - Talking Points - Update on the 2004-2005 Hurricane Season 1. 2004 Hurricane Season Hurricanes Charley,
Citizens Property Insurance Corporation. Statutory-Basis Financial Statements and Supplementary Information
Citizens Property Insurance Corporation Statutory-Basis Financial Statements and Supplementary Information Years Ended December 31, 2017 and 2016 Table of Contents Independent Auditors Report... 1 Financial
Solutions to the New STAM Sample Questions
Solutions to the New STAM Sample Questions 2018 Howard C. Mahler For STAM, the SOA revised their file of Sample Questions for Exam C. They deleted questions that are no longer on the syllabus of STAM.
OLYMPUS INSURANCE COMPANY
REPORT ON EXAMINATION OF OLYMPUS INSURANCE COMPANY ORLANDO, FLORIDA AS OF DECEMBER 31, 2009 BY THE OFFICE OF INSURANCE REGULATION TABLE OF CONTENTS LETTER OF TRANSMITTAL... - SCOPE OF EXAMINATION... 1
Citizens Property Insurance Corporation. Statutory-Basis Financial Statements and Supplementary Information
Citizens Property Insurance Corporation Statutory-Basis Financial Statements and Supplementary Information Years Ended December 31, 2016 and 2015 Table of Contents Independent Auditors' Report... 1 Financial
NORTH CAROLINA HOMEOWNERS INSURANCE DERIVATION OF WIND EXCLUSION CREDIT OWNERS FORMS
HOMEOWNERS INSURANCE DERIVATION OF WIND EXCLUSION CREDIT OWNERS FORMS Territory L (a) d F (b) (1-V ) (c) k B (d) R (e) d' d'r D I r p f p m C f C m 110 2,077.23 0.214 78.64 0.7490 0.243 78.22 1,679.14
FEDERATED NATIONAL HOLDING COMPANY (Exact name of registrant as specified in its charter)
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report: February 27, 2015
Citizens Property Insurance Corporation. Statutory-Basis Financial Statements and Supplementary Information
Citizens Property Insurance Corporation Statutory-Basis Financial Statements and Supplementary Information Years Ended Table of Contents Independent Auditors' Report... 1 Financial Statements Statutory-Basis
Fundamentals of Catastrophe Modeling. CAS Ratemaking & Product Management Seminar Catastrophe Modeling Workshop March 15, 2010
Fundamentals of Catastrophe Modeling CAS Ratemaking & Product Management Seminar Catastrophe Modeling Workshop March 15, 2010 1 ANTITRUST NOTICE The Casualty Actuarial Society is committed to adhering
Citizens Property Insurance Corporation Management Discussion and Analysis for 2016 NAIC Group Code 0000 NAIC Company Code 10064
COMPANY BACKGROUND Citizens Property Insurance Corporation (Citizens) was established on August 1, 2002, pursuant to Section 627.351(6), Florida Statutes (the Act), to provide certain residential and non-residential
NASDAQ: FNHC. December 2014
December 2014 1 SAFE HARBOR STATEMENT / FNHC SNAPSHOT Safe harbor statement under the Private Securities Litigation Reform Act of 1995: Statements that are not historical fact are forward looking statements
Discussion of Using Tiers for Insurance Segmentation from Pricing, Underwriting and Product Management Perspectives
2012 CAS Ratemaking and Product Management Seminar, PMGMT-1 Discussion of Using Tiers for Insurance Segmentation from Pricing, Underwriting and Product Management Perspectives Jun Yan, Ph. D., Deloitte
NASDAQ: FNHC. May 2015
May 2015 1 SAFE HARBOR STATEMENT / FNHC SNAPSHOT Safe harbor statement under the Private Securities Litigation Reform Act of 1995: Statements that are not historical fact are forward-looking statements
FEDERATED NATIONAL HOLDING COMPANY (Exact name of registrant as specified in its charter)
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report: September 3, 2014
The utilization and cost of reinsurance is a significant consideration in
A American DECEMBER 2008 Academy of Actuaries The American Academy of Actuaries is a national organization formed in 1965 to bring together, in a single entity, actuaries of all specializations within
Principle-Based Reforms for Florida s Property Insurance Market
Principle-Based Reforms for Florida s Property Insurance Market Senate Banking and Insurance Committee January 16, 2013 Kevin M. McCarty, Insurance Commissioner 1 Committee Guidance* Return to a free market
Citizens Property Insurance Corporation PERSONAL AND COMMERCIAL LINES ACCOUNTS SELECTED FINANCIAL INFORMATION STATUTORY ACCOUNTING PRINCIPLES
PERSONAL AND COMMERCIAL LINES ACCOUNTS SELECTED FINANCIAL INFORMATION STATUTORY ACCOUNTING PRINCIPLES Years Ended December 31, (In Thousands Unaudited) 2016 2015 2014 2013 2012 Statement of Admitted Assets,
Consolidated Direct Written Premium
The following is an analysis of Citizens financial and operating results for the second quarter of 2018. - PREMIUMS - Consolidated direct written premium for the first half of 2018 was $460.0 million or
SOUTHERN FIDELITY PROPERTY & CASUALTY, INC.
REPORT ON EXAMINATION OF SOUTHERN FIDELITY PROPERTY & CASUALTY, INC. TALLAHASSEE, FLORIDA AS OF DECEMBER 31, 2012 BY THE FLORIDA OFFICE OF INSURANCE REGULATION TABLE OF CONTENTS LETTER OF TRANSMITTAL...
STATE FARM FLORIDA INSURANCE COMPANY
REPORT ON EXAMINATION OF STATE FARM FLORIDA INSURANCE COMPANY WINTER HAVEN, FLORIDA AS OF DECEMBER 31, 2009 BY THE OFFICE OF INSURANCE REGULATION TABLE OF CONTENTS LETTER OF TRANSMITTAL... 1 SCOPE OF EXAMINATION...
FLORIDA HURRICANE CATASTROPHE FUND
FLORIDA HURRICANE CATASTROPHE FUND FISCAL YEAR 2006-2007 ANNUAL REPORT State Board of Administration of Florida The purpose of the Florida Hurricane Catastrophe Fund is to improve the availability and
2017 Operating Budget
Financial Schedules & Supporting Information Board of Governors Meeting December 07, 2016 Board of Governors Chris Gardner, Chairman of the Board Don Glisson, Vice Chair Gary Aubuchon Juan Cocuy James
OFFICE OF INSURANCE REGULATION COMMERCIAL RATE FILING PROCESS
OFFICE OF INSURANCE REGULATION COMMERCIAL RATE FILING PROCESS Filing Flow Filings Reviewed from 2 Perspectives: 1. Technical Compliance- Are required forms and interrogatories filled out correctly? 2.
Mary Jean King, FCAS, FCA, MAAA Consulting Actuary 118 Warfield Road Cherry Hill, NJ P: F:
Mary Jean King, FCAS, FCA, MAAA Consulting Actuary 118 Warfield Road Cherry Hill, NJ 08034 P:856.428.5961 F:856.428.5962 mking@bynac.com September 27, 2012 Mr. David H. Lillard, Jr., Tennessee State Treasurer
Citizens Depopulation To-Do List
Citizens Depopulation To-Do List What properties would Citizens likely need to cover as the Insurer of Last Resort? Coastal Properties Older Homes Older Mobile Homes A Portion of Policies in Sinkhole Prone
Citizens Property Insurance Corporation: 2013 Rate Hearing. Thursday, September 20, 2012
Citizens Property Insurance Corporation: 2013 Rate Hearing Thursday, September 20, 2012 Citizens Mission and Vision Citizens public purpose is to serve the people of Florida by providing property and casualty
Mitigation: The Modeling Perspective
Mitigation: The Modeling Perspective Mitigation Leadership Summit Orlando, FL February 21, 2008 Paul VanderMarck Chief Products Officer Bringing Science to the Art of Underwriting Risk Management Solutions,
Florida Hurricane. Fiscal Year Catastrophe Fund. Annual Report. State Board of Administration of Florida
Florida Hurricane Catastrophe Fund Fiscal Year 2014-2015 Annual Report State Board of Administration of Florida No hurricanes made landfall in the United States in the 2015 Atlantic and Gulf hurricane
Citizens Property Insurance Corporation Management Discussion and Analysis for 2008 NAIC Group Code 0000 NAIC Company Code 10064
Company Background This discussion provides an assessment by management of the current financial position, results of operations, cash flow and liquidity for Citizens Property Insurance Corporation ( Citizens
SUMMARY OF FINANCIAL POSITION AND OPERATIONS. ($000s omitted)
SUMMARY OF FINANCIAL POSITION AND OPERATIONS ($000s omitted) Consolidated Personal Lines Account FY FY Budget YOY Var Budget Var FY FY Budget YOY Var Budget Var Operations: Direct written premium $ 868,417
The Hartford Financial Services Group, Inc. February 4, 2019
The Hartford Financial Services Group, Inc. February 4, 2019 The Hartford Announces Fourth Quarter And Full Year 2018 Financial Results And $1.0 Billion Share Repurchase Authorization; Also Provides 2019
RAA 2019: INSIGHTS GAINED FROM HURRICANE IRMA CLAIMS
RAA 2019: INSIGHTS GAINED FROM HURRICANE IRMA CLAIMS AGENDA IDENTIFYING CLAIMS DATA VALUE FOR BUSINESS PURPOSES Overview of 2017 Catastrophes and Hurricane Irma Contribution Context of major US-landfalling
Economic Impact of a 1-in-100 Year Hurricane
Economic Impact a 1-in-1 Year Hurricane Department Financial Services March 13, 29 Purpose Report During the 28 Legislative Session, the Florida Legislature directed the Chief Financial Officer to provide
FLORIDA HURRICANE CATASTROPHE FUND (FHCF) LOSS REIMBURSEMENT EXAMINATION CONTRACT YEAR XXXX ADVANCE PREPARATION INSTRUCTIONS
FLORIDA HURRICANE CATASTROPHE FUND (FHCF) LOSS REIMBURSEMENT EXAMINATION CONTRACT YEAR XXXX ADVANCE PREPARATION INSTRUCTIONS Company: Date Examination Scheduled: Date Required Records Due: Events: (Event
Property Insurance Legislation Enacted from 2006 to 2008
Property Insurance Legislation Enacted from 2006 to 2008 2006 Regular Session Funding the 2005 Deficit of Citizens Appropriates $715 million from General Revenue to Citizens to partially offset the 2005
ACTUARIAL & UNDERWRITING COMMITTEE, MARCH 17, 2015 BOARD OF GOVERNORS MEETING, MARCH 18, 2015
ACTION ITEM BACKGROUND Insurers in Florida, including Citizens, approved by the OIR, designate risks that will be individually rated. Individually rated buildings (also known as Advisory or A-rated risks)
ASSEMBLY, No STATE OF NEW JERSEY. 216th LEGISLATURE PRE-FILED FOR INTRODUCTION IN THE 2014 SESSION
ASSEMBLY, No. STATE OF NEW JERSEY th LEGISLATURE PRE-FILED FOR INTRODUCTION IN THE 0 SESSION Sponsored by: Assemblywoman ANNETTE QUIJANO District 0 (Union) Assemblywoman CELESTE M. RILEY District (Cumberland,
Homeowners Insurance Coverages
Homeowners Insurance Coverages An Actuarial Study of the Frequency and Cost of Claims for the State of Michigan by EPIC Consulting, LLC Principal Authors: Michael J. Miller, FCAS, MAAA Klayton N. Southwood,
The Florida Senate AVAILABILITY AND COST OF RESIDENTIAL HURRICANE COVERAGE. Revised Interim Project Summary September 1999 SUMMARY
Committee on Banking and Insurance The Florida Senate Revised Interim Project Summary 2000-03 September 1999 Senator James A. Scott, Chairman AVAILABILITY AND COST OF RESIDENTIAL HURRICANE COVERAGE SUMMARY
SOUTHERN FIDELITY PROPERTY & CASUALTY, INC.
REPORT ON EXAMINATION OF SOUTHERN FIDELITY PROPERTY & CASUALTY, INC. TALLAHASSEE, FLORIDA AS OF DECEMBER 31, 2013 BY THE FLORIDA OFFICE OF INSURANCE REGULATION TABLE OF CONTENTS LETTER OF TRANSMITTAL...
2016 Property Taxation: Targeted Land Assessment Averaging. City Finance & Services March 9, 2016
2016 Property Taxation: Targeted Land Assessment Averaging City Finance & Services March 9, 2016 Agenda Property Assessment & Taxation Framework Provincial & Municipal Mitigating Measures Targeted Land
FLORIDA COMMISSION ON HURRICANE LOSS PROJECTION METHODOLOGY
Anne Bert Chief Operating Officer, Florida Hurricane Catastrophe Fund Barry Gilway President/CEO & Executive Director, Citizens Property Insurance Corporation Sha`Ron James, J.D., MPA, SCPM Insurance Consumer