Developed specifically for property-casualty and managed care insurance companies, AFFIRM™ software is a licensed desktop application. It captures the benefits found in complex Dynamic Financial Analysis (DFA) models in a deterministic, scenario-based, business planning and enterprise risk management tool.
Clients link their existing business plans with AFFIRM™ software and can then develop comprehensive multi-year business plans under various scenarios. AFFIRM™ software allows a company to quickly perform “what-if” analyses and stress test key risk drivers, producing comparative financial statements within seconds.
Conning’s AFFIRM™ software product can be used as a stand-alone application or as an ideal complement to Conning's stochastic enterprise risk modeling software package, the ADVISE® engine. Both Conning's ADVISE® engine and AFFIRM™ software use consistent financial inputs and the same economic and capital markets assumptions.”
A few examples of risk management and planning analyses indicate AFFIRM™ software's breadth of applications:
- Underwriting cycle management
- Inflation and GDP stress testing
- Catastrophe risk analysis
| - Operational loss scenarios
- Investment income forecasting
- Business combinations
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As a management tool, AFFIRM™ software provides:
- Preloaded and/or user-defined economic and capital-market scenarios
- Flexible Excel inputs/outputs to link into existing business planning processes
- Central database-scenario storage for multi-user environments
- Back testing across multiple planning cycles
- Industry-standard financial statement output that ensures ease of comparison between alternative stress scenarios and baseline budget projections
Conning's AFFIRM™ software features comprehensive financial outputs which allow a company to easily evaluate financial impacts and provide the tools to communicate effectively with internal and external constituents, such as Boards of Directors, rating agencies and regulators. Output can be linked to a company's own customized management reports. Outputs include:
- Five-year forecasts
- Key performance indicators
- U.S. Statutory and GAAP income statements and balance sheets
- Cash flows
- Taxes, including AMT and carry forwards
- Capital ratios such as NAIC Risk Based Capital, NAIC IRIS Ratios and A.M. Best BCAR Ratio
For more information about Conning’s risk modeling systems and strategic advisory services, please contact us .