When a regulator asks how you're projecting future losses from five claims in 10 years, you need an answer backed by more than your client's own data. For actuarial firms building captive insurance programs, the challenge is proving that the model holds up under scrutiny.
We recently worked with SIGMA Actuarial Consulting Group—an independent P&C actuarial firm with over 30 years of experience—to support the formation of a captive insurance program for a Florida-based warehousing and logistics company. SIGMA needed to build a feasibility study that a regulator would approve as a legitimate insurance entity. The problem: traditional industry benchmarks only offered broad regional averages, and much of the available data arrived thirdhand through carriers and brokers.
“Neural Earth is going to verify what you're doing or it's going to give you something that you probably wouldn't have seen if you'd only used traditional sources. Either way, you come out ahead.”— Al Rhodes, President & Senior Actuary, SIGMA Actuarial
Neural Earth gave SIGMA what traditional benchmarking sources couldn't: independent, property-level risk data for every location in the portfolio. The results strengthened SIGMA's analysis at every stage:
Independent Verification: Neural Earth's data corroborated the client's positive loss history with granular, parcel-level precision, giving SIGMA confidence that the analysis would stand up to regulatory review.
Adverse Scenario Modeling: SIGMA used the platform's key insights and analytics to help model hurricane, storm surge, and flood scenarios at the property level—building a stress test with the granularity that regional benchmarks can't provide.
From One-Time Study to Annual Workflow: Because the Neural Earth workflow is repeatable and updated in near-real time, SIGMA's renewal analysis doesn't start from scratch—turning a one-time feasibility study into a sustainable annual process.