Senior insurance executives do not understand economic capital models, KPMG survey finds

technical blocks

Insurers are failing to realise the long-term strategic benefits of using economic capital models because of senior executives' poor understanding of their economic capital frameworks, according to a survey by KPMG.

While most global insurers are using economic capital models to support their risk management systems, the survey found that many companies are not using these models to inform wider business decisions.

Insurers risk losing competitive advantage by not fully embracing economic

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