Data plays a defining role in determining both the speed and accuracy of the loss reserving process. Yet, for many actuaries, gaining access to that data remains a persistent challenge. Legacy systems are rarely designed to handle the data-heavy demands of modern reserving, creating a bottleneck that often results in rushed quarterly reviews. As a result, actuarial teams can find themselves focusing more on completing reports than on delivering deeper analytical insights, according to Akur8.
Regulatory bodies, rating agencies and audit committees are applying increasing pressure on actuarial departments to produce more sophisticated loss and reserve estimates within shorter timeframes.
However, conventional data access methods—often reliant on IT or claims departments—are creating obstacles that slow the process down.
Today’s reserving workflows are frequently disrupted from the very beginning, when actuaries must request data from other departments.
Once received, the data requires validation and adjustment, often through numerous spreadsheets and reconciliations with the original source data.
This labour-intensive process not only delays reporting but also diverts actuarial expertise away from higher-value analytical tasks that could enhance the organisation’s financial strategy.
A centralised data repository offers a direct solution. By giving actuaries independent access to data in a format tailored to their analytical requirements, such a system eliminates reliance on other departments.
It allows actuaries to retrieve, manipulate and analyse data directly, ensuring accuracy and consistency while significantly reducing turnaround times.
When actuaries own and control their data, they gain the flexibility to re-segment analyses, investigate specific claims in detail, exclude anomalies, and reconcile outcomes effortlessly with source data. Tasks that once took days can now be performed in hours—or even minutes—allowing teams to focus on strategic analysis rather than data wrangling.
Relying on the traditional flow of data to meet growing regulatory and internal expectations is increasingly unsustainable. Expecting IT departments to shift priorities each quarter to accommodate reserving needs is no longer practical. Instead, empowering actuaries with direct data control is the first step towards transforming the reserving process. It not only streamlines workflows but also enhances transparency and governance—key expectations from modern regulators and stakeholders.
Giving actuaries control over their own data infrastructure represents a pivotal shift towards smarter, faster and more accountable reserving practices. It’s an essential evolution for organisations aiming to stay ahead in an increasingly data-driven insurance environment.
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