Sbi General Insurance

To evaluate the financial health of an insurance company, I would analyze key financial metrics such as the combined ratio, loss ratio, and expense ratio. Additionally, reviewing the company's investment portfolio, capital adequacy, and solvency margin would provide insights into its stability and risk management.

In a previous audit, I discovered an inconsistency in the claims processing system that could lead to significant financial losses. I documented the findings, assessed the potential impact, and presented a detailed report to management with recommendations for process improvements and controls.

The insurance industry faces challenges such as regulatory changes, technological advancements, cybersecurity threats, and evolving customer expectations. Companies must adapt by investing in technology, enhancing customer experience, and ensuring compliance with regulations.

GST has streamlined the tax structure in the insurance sector, replacing various indirect taxes with a single tax. This has simplified compliance but also increased the tax burden on policyholders due to higher rates on premiums.

Reinsurance is a risk management tool where an insurance company transfers a portion of its risks to another insurer to mitigate potential large losses. It helps insurance companies maintain financial stability and solvency by spreading risks.

I would start by identifying key business processes and risks, then evaluate the effectiveness of existing controls. This involves reviewing financial statements, interviewing key personnel, and analyzing historical data to prioritize risks and recommend mitigation strategies.

I would begin by gathering historical data and understanding the company's business model. Then, I would build a model incorporating key drivers such as premium growth, claims ratios, and expense management, using scenario analysis to test assumptions and forecast future performance.

Life insurance policies offer tax benefits under sections 80C and 10(10D) of the Income Tax Act, where premiums paid are deductible and maturity proceeds are tax-exempt, subject to certain conditions.

I ensure compliance by staying updated on relevant regulations, conducting thorough documentation reviews, and implementing checklists to verify adherence to legal standards. Regular training and communication with regulatory bodies also help maintain compliance.

The solvency ratio measures an insurance company's ability to meet its long-term obligations, indicating financial health and stability. It is crucial for assessing the company's capacity to withstand financial stress and protect policyholders.

I would first identify the source of the discrepancy, whether it is due to data entry errors, misinterpretation of tax laws, or system issues. Then, I would correct the errors, document the changes, and communicate with tax authorities if necessary to rectify the filings.

I use a combination of statistical sampling, data analytics, and process reviews to audit insurance claims. This involves verifying claim documentation, assessing the accuracy of claim settlements, and ensuring compliance with policy terms and regulatory requirements.

I assess the impact by analyzing the duration and convexity of the investment portfolio, evaluating the sensitivity of assets and liabilities to interest rate changes, and modeling potential scenarios to understand the financial implications.

IFRS 17 introduces complex measurement models and requires significant changes in financial reporting systems. Challenges include data management, system integration, and training staff to understand and apply the new standards effectively.

I prioritize audit findings based on their potential impact on the organization, considering factors such as financial risk, compliance issues, and operational efficiency. I categorize them into high, medium, and low priorities and communicate them clearly to management for action.

Actuarial analysis involves using statistical methods to assess risk and determine premium pricing, reserve requirements, and profitability. Actuaries play a crucial role in product development, financial planning, and ensuring the company's long-term viability.