Chapter 32: Policy data checks

Question 1

Why does the actuary do data checks?

Answer 1

The actuary needs to ensure that the data is adequate, accurate and complete in order to ensure that their work is based on valid data

Question 2

What are some checks that an actuary can do on their data

Answer 2

1. Data movement (reconciling between one period and the next)
2. Consistency (check that numbers are sensible)
3. Unusual values (impossible dates of births, values that don’t exist)
4. Analysis of surplus (Unexplained items)