Chapter 32 - Policy Data Checks

Question 1

Items of data that can be checked for non-unitised business: (4)

Answer 1

1. Number of contracts
2. Basic sum assured
3. The office premium
4. For with-profits contracts, the amount of any attaching bonuses

Question 2

Items of data that can be checked for unitised business: (6)

Answer 2

1. Number of contracts
2. Number of units actually allocated, subdivided by unitised fund
3. Current premium payable
4. Current benefits available, eg amount of death cover
5. Changes in the number of units allocated arising from switches between unitised funds
6. Changes in the premium payable and benefits under existing contracts

Question 3

Simple check procedure to ensure data is complete and accurate: (5)

Answer 3

1. Data movement (reconcile data between start and end period)
2. Consistency (check numbers are sensible)
3. Unusual values (check that they do not exist)
4. Analysis of surplus (any inexplained item)
5. Spot checks (check paper administration file is the same as the computer data)