Case Study: Samsung Fire and Marine Insurance strengthens IFRS 4 readiness with Numerix Economic Scenario Generator

Samsung Fire and Marine Insurance reports market-consistent liability values quarterly with Numerix

Samsung Fire and Marine Insurance (SFMI), the largest Property and Casualty insurer in Korea, faced the challenge of preparing for upcoming International Financial Reporting Standards (IFRS) requirements. To gain insight into the impact of IFRS 4 on its balance sheet, SFMI required a robust economic scenario generator. The company selected the Numerix Economic Scenario Generator to produce the necessary risk-neutral economic scenarios.

Numerix provided its market-tested Economic Scenario Generator, enabling SFMI to implement a 2-factor interest rate model for generating scenarios that accurately reflect interest rate curve characteristics. As a result, SFMI successfully began reporting market-consistent values of liability contracts to its executives quarterly. The early preparation positioned SFMI as an innovative market leader in anticipation of regulatory demands.

Samsung Fire and Marine Insurance