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dc.contributor.authorHölscher, Luiseen_US
dc.contributor.authorHarding, Perhamen_US
dc.contributor.authorBecker, Gernot M.en_US
dc.date.accessioned2005-07-27en_US
dc.date.accessioned2009-09-10T13:48:12Z-
dc.date.available2009-09-10T13:48:12Z-
dc.date.issued2005en_US
dc.identifier.piurn:nbn:de:101:1-20080825154-
dc.identifier.urihttp://hdl.handle.net/10419/27823-
dc.description.abstractIn May 2004 the CFO Forum harmonized the various efforts of reporting the embedded valueof life insurance companies by issuing the European Embedded Value (EEV) Principles.In this working paper a methodology is proposed to derive a maximum lending amountfrom EEV figures without much additional data requirements from the originating insurer. The approach chosen is similar to that of other financing areas, e.g. real estate finance, where first a prudent best estimate valuation is done and later risk deductions are performed in the form of applying loan to value ratios, e.g. 60-80 % of the prudent amount. Here, this prudent value is called bankable embedded value and the loan to value analysis presented leads to the maximum lending amount. The deductions proposed to arrive at a maximum lending amount are based on parameter adjustments and risk allowances for unexpected risks. There is an analogy with insurers for determining their own capital needs. The methodology proposed is based on the stress test approach which increasingly gains popularity with insurance supervisors in Europe.en_US
dc.language.isoengen_US
dc.publisherHfB - Business School of Finance & Management Frankfurt a. M.de
dc.relation.ispartofseriesArbeitsberichte der Hochschule für Bankwirtschaft 64de
dc.subject.jelG22en_US
dc.subject.jelM41en_US
dc.subject.ddc330en_US
dc.subject.keywordEuropean embedded valueen_US
dc.subject.keywordembedded valueen_US
dc.subject.keywordlife insurance policiesen_US
dc.subject.keywordmaximum lending amounten_US
dc.subject.keywordrequired capitalen_US
dc.subject.keywordrisk analysisen_US
dc.subject.keywordrisk discount rateen_US
dc.subject.keywordvalue reporting and analysisen_US
dc.subject.keywordvalue sensitivity analysisen_US
dc.titleFinancing the embedded value of life insurance portfoliosen_US
dc.typeWorking Paperen_US
dc.identifier.ppn498526631en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
dc.identifier.repecRePEc:zbw:fsfmwp:64-
Appears in Collections:Frankfurt School - Working Paper Series, Frankfurt School of Finance and Management

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