Finance

Integrated solutions to manage increasing complexity

The financial function of insurance companies is currently faced with diverse challenges. New accounting standards as part of IFRS and as stipulated by the Solvency II directive are requiring changes in assessment methods. This increases the demands on reporting processes and systems as well as the planning processes. Stronger interaction between accounting, actuarial services and risk management is the basic prerequisite to be able to consistently and promptly provide and analyze metrics, given the growing complexity of key performance indicators. Proactive management of the organization also requires further adjustments in terms of methods, responsibilities and processes.

With many years of management experience in the line organizations of large insurance groups, our consultants provide comprehensive know-how with regard to the insurance industry's business system for the development of tailor-made solutions. They help you design your financial and risk areas efficiently and tightly integrate individual functions such as accounting, controlling, risk management and actuarial services with company management and IT processes. Together with consistent data, some of which is generated in real-time, this serves as a basis for realistic profitability analysis, the development of future-oriented strategies, and reporting in accordance with the latest standards. You can thus control your day to day business efficiently and smoothly, determine future potential based on yield aspects, and proactively manage risk.

  • Financial Accounting
  • Controlling
    • Our services at a glance
    • Implementation Solutions
    • Expert advice and detailed concepts with a 360° view of your organization

      The dynamic changes to insurance products and related processes, a growing dependency on IT, competitive pressure and stringent legal requirements are placing new demands on accounting. To effectively respond to these trends, we support management of the complex interactions between accounting, reporting, risk management and yield management with extensive experience and know-how. Our solutions put into practice agile integrated financial and risk architectures with a consistent data platform and improved data quality.

      Taking all aspects of your organization into consideration, we advise you holistically with regard to accounting and related areas. Virulent issues include implementation of national accounting standards and international standards in accordance with IFRS as well as the timely adaptation to changed legal regulations. A further focus of our services consists of the new measurement models according to IFRS 17 such as the Premium Allocation Approach, the Building Block Approach or the Variable Fee Approach. Within the context of IFRS 9, we support you in the areas of fair value measurement and effective interest rate calculation, the calculation of amortized cost, accruals and deferrals, as well as the issues associated with hedge accounting and valuation units, impairment and risk provisioning. In addition to this, we support the evaluation of selected asset classes such as infrastructure investments, which constitute interesting investment alternatives in the low-interest phase.

      The deadlines for reporting to the BaFin as stipulated by the Solvency II directive become significantly tighter each year. At the same time, many insurers have to provide quarterly reports as well as comprehensive reports to boards of directors and other committees. This requires smooth reporting processes – also for financial data. We optimize all of your financial and risk reporting processes, thus ensuring quality and speed for the "final stretch" with the help of modern tools for automated generation of text-based reports (Disclosure Management).

      Our solutions are based on many years of project experience and industry-specific benchmarks that we gain from Close Cycle Rankings and EPM studies. As a result, we develop individual concepts for you based on proven procedures and methods.

    • We manage transformation processes through to full implementation. In the area of accounting, we draw on in-depth expertise and a wide range of applications from renowned partner companies as well as our own industry-specific developments. These include::

      • Oracle Hyperion Financial Management (HFM)
      • SAP Insurance Analyzer
      • SAP S/4HANA
      • SAP BPC and FC for planning and consolidation
      • SAP Disclosure Management and SAP BI reporting solutions
      • SAP Performance Management for Financial Services (FS-PER) for use in SAP HANA architectures
      • Tagetik CPM
      • Tagetik consolidation
      • Tagetik CDM (Collaborative Disclosure Management)
      • Tagetik planning
      • Tagetik Reporting on HANA
    • Our services at a glance
    • Yield management
    • Cost management
    • Investment controlling
    • Planning
    • Implementation Solutions
    • We design a consistent architecture for your KPI set consisting of financial, risk and performance indicators

      The low-interest phase is reducing the earnings potential of insurance companies. Market dynamics and digitalization require significant investments in the realignment of business systems and cost reductions in areas with high pressure on margins. The evaluation of strategic decisions with regard to profitability and costs is becoming increasingly important, and controlling has a key role here. At the same time, it is faced with new performance indicators and the proactive control of defined target values within the framework of risk management.

      We advise you with in-depth expertise in all aspects of controlling and guide you through holistic transformation projects up to and including implementation of the application environment. Our solutions ensure the exchange of information between controlling, accounting, risk management and top management, while integrating these functional areas with a consistent methodology and data platform. In doing so, we harmonize the external perspectives of accounting and regulatory requirements with the internal perspectives of controlling and risk management. We embed the internal control processes in accordance with IFRS along with corporate planning and cost control in an integrated system, and design a consistent architecture and process landscape to meet your challenges.

    • We use cutting-edge procedures to support your risk, performance and yield management, integration of external and internal accounting, calculation and analysis of product profitability, as well as the development of effective pricing and product strategies. We back your strategic decisions with business cases, scenario development and analysis.

    • Together with you, we develop your target image for cost control and controlling. We support you with effective detailed concepts pertaining to unit costs, cost allocation and pragmatic approaches to the derivation of result data. Based on many years of experience, we operationalize cost reduction and change management programs, and ensure their smooth transfer from paper into reality. We respond to trends like digitalization and intermediary regulation (e.g., IDD) with integrated concepts for the analysis and optimization of your compensation, structure and process related costs in sales and distribution.

    • We support you in the planning, evaluation, monitoring, extrapolation and maintenance of your stocks as well as an appropriate reporting design. In order to exploit yield potentials in the low-interest-rate environment, we optimize your investment planning using detailed analyses of the regulatory restrictions and capital requirements according to Solvency II, and provide for tighter correlations between investments and insurance technology.

      A further focus of our work consists of putting into practice timely, consistent and high-quality reporting to meet the special requirements of Solvency II. The complexity of external reporting is increasing while deadlines are shortening. At the same time, internal reporting has to meet increasingly detailed requirements. Both trends require constant monitoring and optimization of the reporting processes and techniques with respect to quality and time. We support you with in-depth know-how and experience.

    • Using excellent approaches, we cover the full range of tasks related to your strategic, medium-term and operational planning. This includes improving planning quality, further development toward planning models based on value drivers, as well as streamlining of the planning process and reporting (including reporting design according to Hichert). In addition to this, we offer you effective solutions for pressing issues such as linking of planning to ORSA/FLAOR, adaptation to changes in Key Performance Indicators (KPIs) within the context of Solvency II and IFRS 17, as well as the derivation of risk provisioning in medium-term planning in consideration of IFRS 9.

    • We manage transformation processes through to full implementation. In the area of controlling, we draw on in-depth expertise and a wide range of applications from renowned partner companies as well as our own industry-specific developments. These include:

      • Oracle Hyperion Financial Planning
      • SAP FS PER (SAP Cost and Revenue Allocation for Financial Products) on SAP S/4 HANA
      • SAP Insurance Analyzer CVPM (Calculation & Valuation Process Management)
      • SAP Insurance Analyzer PA (Profitability Analysis)
      • SAP SEM PA (Profit Analyzer)
      • SAP CO
      • SAP BPC (Business Planning and Consolidation)
      • SAP BW and BI reporting solution
      • Tagetik planning
      • Tagetik Solvency II
      • Tagetik CDM
      • Tagetik APM