Croatian Actuarial Conference 2017 “Challenges of the future” was held in Zagreb

The Croatian Actuarial Conference was held on 5th and 6th June 2017 in Hotel Dubrovnik Zagreb under the title “Challenges of the future”. The conference, which brought together more than 160 participants from home and abroad, was organized by the Croatian Actuarial Association (CAA).

The Conference, which was attended by eminent domestic and foreign lecturers from the academic community and insurance experts, was held under auspices of the Croatian Ministry of Finance and the Croatian Financial Services Supervisory Agency. Partners of the Conference were Croatian Chamber of Economy and Croatian Insurance Bureau.

Opening speeches were held by the president of the Croatian Actuarial Association Mrs. Ksenija Sanjković, president of the Croatian Financial Services Supervisory Agency Mr. Petar-Pierre Matek and assistant of Minister of finance Mr. Ante Matijević.

“Encouraged by the remarkable success of the last year Conference, we are honoured that we have managed to gather more participants this year and we hope that this year’s Conference will at least repeat last year’s success. I hope this Conference will enable us not only to acquire new knowledge, but also to exchange experiences through mutual contacts and socializing.” said Mrs. Sanjković in her speech.

Mr. Petar-Pierre Matek emphasized the importance of the actuarial profession in his speech, adding that the number of actuaries among the successful managers is increasing. “Actuaries are used to say out loud unpopular things that neither management nor sales like to hear, but without the realistic view of the situation there is no survival in insurance for longer periods,” said Mr. Matek.

Mr. Ante Matijević talked about the potential that actuarial profession could bring to the government administration when it comes to a mathematical and analytical approach in risk management. He also pointed out that, due to the size of the investment portfolio, insurance companies and pension funds have a key role in the financial market.

The program of the first day of the Conference covered topics related to the future challenges in insurance and financial industry in general, such as investment in the context of asset and liability management, actual topics in the insurance industry, artificial intelligence and regulatory changes.

In the first lecture Mr. Darko Brborović, Chairman of the Management Board of OTP Invest, talked about asset management techniques with respect to the structure of liabilities, i.e. restrictions regarding the liabilities.

Further to this, Mr. Hrvoje Filipović from Ernst & Young (Italy) continued with a similar topic,   investment in the context of Solvency 2 regulation.

These lectures were good introduction to the panel on investing in the context of asset and liabilities management, where Mario Radaković, member of the Managing Board of the Croatian Financial Services Supervisory Agency, Mario Staroselčić, member of the board of directors of Allianz ZB, and Vanco Balen, Director of Risk Management of Croatia Insurance, joined the above mentioned lecturers Mr. Brborović and Mr. Filipović. The panel was moderated by Ksenija Sanjković, a Board member of the Croatian Credit Insurance.  

Dr Corina Constantinescu from the University of Liverpool started a block on the insurance industry’s current topics with a presentation on the bonus-malus motor liability insurance system with analyzes and real practice examples from several countries. After that, Mr. Marijan Kralj, Member of the Board of Croatia Insurance, gave an interesting insight into the challenges of the future in the insurance industry.

Dr. Frank Cuypers held a lecture on artificial intelligence and its use in the insurance industry. He showed that the future is already here and that, if we do not intend to change, soon we will be replaced by the robots.

After Mr. Cuypers, Mr. Bor Harej from Zavarovalnica Triglav held a presentation on the determining claims provision using machine learning.

Mr. Imrich Lozsi from the consulting firm Tools4F lectured on IFRS 17 standard with a focus on the changes that this standard will bring in the area of financial reporting (balance sheet, profit and loss account) as well as on the possible impacts that it will have on the insurance industry business.

The last lecturer on the first day of the Conference was Mr. Dieter Pscheidl, Director of Legal Affairs at VIG, Astoria. He held a lecture on upcoming legal regulations such as IDD, PRIIPS and GDPR, with a special emphasis on the role of actuaries in new regulatory challenges.

The second day of the conference began with a workshop on presenting sills, followed by lectures on currency risk and social networks.

Mrs. Elvira Dobrić Fajl presented a few methods how to achieve the excellence in presentation and after that Mrs. Martina Samac from the Croatian National Bank held a presentation on risk management in the banking sector with a special emphasis on currency risk, explaining statistical methods Value-at-Risk and Expected Shortfall and three ways of calculating them.