Handbook of Solvency for Actuaries and Risk Managers : Theory and Practice

Getting a real idea for actuarial science. Read and practice every day amd if I get through all of it, then i will buy the book.

Solvency

a company's or individual's ability to meet long-term financial obligations. In other words, it's the capacity to pay off all debts as they come due, particularly over the long term, rather than just managing short-term liabilities (which would relate more to liquidity).

Liquidity

the ability of a company or individual to quickly convert assets to cash to meet short-term obligations. It reflects the ease of accessing funds without significant loss in value.

the International Association of Insurance Supervisors (IAIS)

a voluntary membership organization of insurance supervisors and regulators from more than 200 jurisdictions, constituting 97% of the world’s insurance premiums. It is the global standard-setting body responsible for developing and assisting in the implementation of principles, standards and guidance as well as supporting material for the supervision of the insurance sector. Founded to promote global insurance market stability and effectiveness.

International Actuarial Association (IAA)

a global organization of actuarial associations from various countries that aims to improve global actuarial practice and education. It fosters cooperation among member associations and advocates for the profession on international issues.

Bank for International Settlements (BIS)

an international financial institution established to promote monetary and financial stability. It serves as a bank for central banks, providing a forum for cooperation and a platform for economic research.

International Accounting Standards Board (IASB)

an independent body responsible for developing and issuing International Financial Reporting Standards (IFRS) to improve the transparency, accountability, and efficiency of financial reporting across the globe.

Committee of European Insurance and Occupational Pensions Supervisors (CEIOPS)

a former European regulatory body that focused on the supervision of insurance and pensions sectors in Europe. It aimed to enhance the protection of policyholders and ensure the stability of the financial system.

Enterprise Risk Management (ERM)

a comprehensive framework that organizations use to identify, assess, manage, and monitor risks across the enterprise to achieve strategic objectives. It integrates risk management practices into the organization's processes and decision-making.

Fuzzy Set Theory

a mathematical framework for dealing with uncertainty and imprecision, where elements have degrees of membership rather than a binary classification. It is used in various fields, including decision-making and data analysis.

solvency margin

the amount by which an insurer's assets exceed its liabilities, serving as a buffer to ensure policyholder claims can be met.

Available Solvency Margin (ASM)

The difference between the assets (A) and the liabilities (L), meaning that the company is in the general solvency state if the margin is positive.