Professional Development

Toronto: Allstream Centre, 105 Princes' Blvd.


Thursday, September 22, 2016

07:45 – 17:30    Registration and CIA Information Desk 

07:45 – 08:45    Hot Buffet Breakfast 

08:45 – 10:15    Joint Session 

Session 1 (Joint) • Value of External Peer Review and Internal Audit 

Cynthia Potts (FCIA), principal, property and casualty, Eckler
Stéphane Lévesque (FCIA), partner, KPMG
Ralph Ovsec (FCIA), director, risk consulting and software, Willis Towers Watson
Margaret Pacheco*, associate vice-president, insurance & global project audit, TD Bank Group

The external peer review and internal audit are valued components within the Office of the Superintendent of Financial Institutions’ (OSFI) supervisory framework. It has been more than a decade since the introduction of the external peer review as part of OSFI’s requirements, while internal audit plays an important role in corporate governance. In this panel discussion, we learn from users and providers of both external peer reviews and internal audits to gauge the value that these tools provide for Appointed Actuaries.

10:15 – 10:30     Networking Break

10:30 – 12:00     Concurrent Sessions

Session 2 (Life) • Updates from the Committee on Life Insurance Financial Reporting, Including Guidance for 2016 Year-End Reporting
Rebecca Rycroft (FCIA), principal, Oliver Wyman
Jean-Yves Rioux (FCIA), senior manager, actuarial, reward and analytics, Deloitte
Rebecca Rycroft 
Lesley Thomson (FCIA), vice-president, actuary, Sun Life Financial 

In this session, the Committee on Life Insurance Financial Reporting (CLIFR) will provide updates on initiatives such as emerging expectation of future reinvestment, life mortality improvement margins and aggregation, review of the upcoming life insurance capital adequacy test (LICAT) educational note, as well as topics in the Fall Letter.

Session 3 (P&C) • Updates from the Committee on P&C Insurance Financial Reporting 

Raul Martin (FCIA), consulting actuary, JSCP
Sarah Bhanji (FCIA), vice-president, actuarial, Aviva
Edward Lam (FCIA), Royal and Sun Alliance
Raul Martin

Members of the committee will provide an update on its latest projects, including a discussion of the results of the survey on reinsurance and investment margins for adverse deviations (MfADs).

12:15 – 13:00    Luncheon 

13:05 – 14:05    Keynote Speaker - Chris Mathers

Future Developments in Security, Privacy, and Information 

Keynote speaker Chris Mathers brings his expertise as a crime and risk consultant to this presentation on what actuaries should know about data gathering, cybercrime, and privacy laws. Mr. Mathers examines trends in personal information gathering by insurance (life and P&C) companies and the safeguards that companies should use to store this information. Using examples of data breaches and their fallout, he reveals the techniques used by cybercriminals and examines whether we are assessing these operational risks properly. Mr. Mathers will discuss current technologies used outside of insurance companies, and even outside of Canada, to routinely capture personal information, how they might be of use to Canadian insurers, and how they fit with Canadian privacy laws. Finally, he will explore what the future State might look like in the face of constantly evolving technologies, data security, and cybercriminals.

14:15 – 15:45    Concurrent Sessions

Session 4 (Life) • Research Committee Experience Studies Update

Faizel Alladina (FCIA), vice-president, group reinsurance, Munich Re
Faizel Alladina
Richard Brown (FCIA), Eckler
Damien Lapointe Nguyen (FCIA), senior assistant actuary, RGA
Chris Piper (FCIA), assistant vice-president, corporate actuarial, Munich Re

In this session, the Research Committee will provide a general update on current research initiatives as well as take us through some of their latest studies including the following: T100 and universal life studies; and the individual living benefits experience study. The session will end with a question and answer period.  Richard Brown will provide an overview of Club Vita Canada’s inaugural annual study of Canadian longevity experience, including a discussion of the innovative methodology being employed (generalized linear model (GLM)/clustering/data analytics), the data being used, and preliminary findings. While based on pension plan data, the study is directly applicable to group annuity and longevity insurance products.

Session 5 (P&C) • Predicting IBNR Claim Counts: Doubly Stochastically Speaking 

Houston Cheng (FCIA), senior manager, KPMG
Andrei Badescu*, associate professor of actuarial science, Department of Statistical Sciences, University of Toronto
Sheldon Lin (ACIA), professor of actuarial science, Department of Statistical Sciences, University of Toronto
Dameng Tang*, postdoctoral fellow, Department of Statistics and Actuarial Science, University of Waterloo

The speakers will present a paper they co-authored on modelling incurred but not reported (IBNR) claims. IBNR loss reserving is of great importance for property and casualty (P&C) insurers. However, the temporal dependence exhibited in the claim arrival process is not reflected in many current loss reserving models, which might affect the accuracy of the IBNR reserve calculation. To overcome this shortcoming, the authors proposed a mixed Poisson model with a regime-switching mechanism. Considerations in this session will include model estimation using an expectation-maximization (EM) algorithm and the application of the model to policy-level claim count data.


15:45 – 16:00      Networking Break

16:00 – 17:30     Concurrent Sessions

Session 6 (Life) • ORSA Implementation Practicalities and Challenges 

Hélène Baril (FCIA), associate partner, insurance and actuarial advisory services, EY 
Hélène Baril
Susan Meltzer*, vice president, risk, Aviva Canada
Hakim Nouira*, senior manager, EY
Johan Janse van Vuuren*, vice-president ORSA and model governance, Sun Life

Own risk and solvency assessment (ORSA) professionals will provide their views on how Canadian insurers are approaching ORSA implementation. P&C, life, and global market representatives will discuss the different adopted approaches and the main challenges facing insurance companies: how to scale the ORSA process to the size, complexity, and risk profile of the insurer; how to leverage existing capabilities; how to build an integrated approach; and the benefits of going beyond the regulatory requirements.

Session 7 (P&C) • Capital Modelling
Sati MacLean (FCIA), director, insurance risk and capital risk, RSA
Margo Ford*, senior analyst, OSFI
Sati MacLean 

The Office of the Superintendent of Financial Institutions (OSFI) and the Property and Casualty (P&C) insurance industry continue to work on an internal model approach that will eventually be included in OSFI’s capital framework for P&C insurance companies. As part of the P&C Minimum Capital Test Advisory Committee’s (MAC’s) ongoing work in this area, OSFI is developing criteria for the use of company-specific internal capital models to determine regulatory capital requirements, with an initial focus on insurance risk. In addition, the P&C MAC Industry Working Group on economic capital models (ECMs) has been developing an educational handbook related to ECMs for Canadian P&C insurers.

This session will provide an update on OSFI’s work in developing these criteria, an update on the handbook on ECMs, and a comparison of the use of ECMs across a number of global jurisdictions. 

17:30–19:00  Delegates’ Networking Reception

Friday, September 23, 2016

07:45 – 15:00    Registration and CIA Information Desk 

07:45 – 08:45    Hot Buffet Breakfast 

08:45 – 10:15    Joint Session 

Session 8 (Joint) • Managing Regulatory Changes for Smaller Actuarial Teams 

Pierre Lepage (FCIA), partner and business leader, P&C actuarial, KPMG
Bob Brown (FCIA), chief actuary and chief risk officer, Aurigen Reinsurance
Trevor Howes (FCIA), VP and actuary, GGY AXIS
Apundeep Lamba (FCIA), head, actuarial management Canada and senior vice-president, 
reinsurance, Swiss Re

Within the next five years we will see the most significant change to insurance financial reporting with the implementation of IFRS 4, affecting both life and P&C insurers. In addition, life insurers will see the introduction of the new capital standard life insurance capital adequacy test (LICAT), while the capital test for P&C insurers has been updated periodically over the past few years.

Through a question-and-answer session, the three speakers will share their perspective on the impact of these changes for Appointed Actuaries with smaller actuarial teams and how they tend to approach such changes, including tools and processes.

10:15 – 10:30    Networking Break

10:30 – 12:00    Concurrent Sessions

Session 9 (Life) • LICAT Development and Implementation

Bernard Dupont (FCIA), senior director, insurance capital, OSFI
Henri Boudreau*, managing director, insurance capital, OSFI
Anandhi Sarvananthan (FCIA), actuarial specialist, OSFI
Edward Swerhone (FCIA), vice-president, actuarial reporting and product management, Sun Life Financial

In March of this year, the Office of the Superintendent of Financial Institutions (OSFI) issued a draft of the new Life Insurance Capital Adequacy Test (LICAT) scheduled to come into effect January 1, 2018. In this session, OSFI will give a brief update on LICAT, followed by a discussion of key implementation considerations and concerns from both the regulator and industry perspective.  The final part of the session will be a technical discussion on select issues.

Session 10 (P&C) • Update on Reinsurance and Primer on Cyber Risk

Sean Russell (FCIA), managing director, Guy Carpenter
Greg Eskins*, national cyber practice leader, Marsh Canada
Sean Russell
Victor Schultheiss*, vice-president, casualty/surety treaty, Munich Re

In 2016, Canada experienced the costliest natural catastrophe event in its history. The Fort McMurray wildfire is estimated to be the worst wildfire disaster globally, with a significant impact for both insurers and reinsurers. This session will update the current reinsurance market conditions including the impact of the wildfire and forward-looking expectations for the January 1 renewal season. The session will also focus on cyber risk. Cyber coverage is an emerging risk that concerns many individuals, companies, and insurers. The speakers will explore the nature of this developing risk from a product and underwriting standpoint as well as the reinsurance marketplace experience providing solutions for this increasing risk.

12:15 – 13:15    Luncheon 

13:30 – 15:00    Concurrent Sessions

Session 11 (Life) • Lose CALM and Carry On?

Simon Girard (FCIA), manager, advisory services, EY
Jonathan S. Hede (FCIA), vice-president, Nexus Risk Management 
Les Rehbeli (FCIA), Oliver Wyman
Mary Trussell*, partner, national practice leader, insurance, KPMG

As implementation of IFRS 4 Phase 2 for life insurers approaches, where are companies in their preparations? What are some of the no-regrets activities they can undertake now? What changes can we expect in terms of professional standards and guidance related to reserving? What are some of the practical issues that we expect to challenge Canadian insurers as they prepare to implement new reserving methodology and financial statement presentation? How have companies been positioning their investment portfolios in light of the upcoming changes?

Session 12 (P&C) • Insurance Fraud Detection and Risk Management

Rachel Dutil (FCIA), senior manager, P&C actuarial services, KPMG
François Boulanger (FCIA), head of fraud management – insurance, RBC 
Mario Silvestre*, VP analytics & operations, CANATICS

Two insurance fraud experts will explain why Appointed Actuaries should care about fraud. They will discuss the fraud detection capabilities of CANATICS (Canadian National Insurance Crime Services) and the integrated fraud management framework that is necessary for an insurer to successfully defend against fraud.

*Not a member of the CIA. 






Oliver Wyman