A.M. Best Adds Extra Content, Capacity for July 22 Webinar on Best’s Life Settlement Cash Flow Model

OLDWICK, N.J.--(BUSINESS WIRE)--Additional seats are now available for a webinar in which A.M. Best Co. Managing Director and Global Head of insurance-linked securities Emmanuel Modu will review Best’s Life Settlement Cash Flow Model. The one-hour webinar is set for Thursday, July 22 at 10 a.m. EDT. There is no cost to register.

In addition, the presentation will include an overview of life settlements and A.M. Best’s approach to evaluating them.

Best’s Life Settlement Cash Flow Model allows users to simulate cash flows associated with life settlement collateral pools. The model, which is written as a MATLAB® application, is being offered at no charge to help market participants better understand the stochastic nature of mortality-dependent cash flows.

To download Best’s Life Settlement Cash Flow Model at no charge and to register for the July 22 webinar, please visit www.bestcashflowmodel.com. To download and use the software, users must agree with the terms of the End User License Agreement included in the download package.

To register directly for the webinar, visit www.ambest.com/lifesettlement10.

Best’s Life Settlement Cash Flow Model utilizes data such as monthly death benefits and premiums; mortality rates based on gender and smoking status; mortality ratings provided by medical underwriters; and duration to calculate cash flows associated with a life settlement portfolio. Specifically, the model generates:

• Up to 5,000 simulations of death benefits and premium payments on up to 1,000 life settlements (including life settlements based on “second-to-die” insurance policies) using the Monte Carlo statistical methodology;
• Expected death benefits and expected premiums for each life settlement using the probabilistic approach;
• A monthly mortality vector associated with each life settlement; and
• A graph of portfolio expected cash flows.

The model is written for the Windows XP (32-bit, Service Pack 3) environment but may work in the Windows 7 environment, depending on your configuration. It also requires Excel 2007 and the installation of a MATLAB® Compiler Runtime (MCR™), which is a self-extracting runtime engine that allows the user to run the model as an executable. The MCR™ is included in the model download at registration.

Attendees will be able to submit questions or comments during registration or during the presentation. The presentation is available via computer desktop and by telephone worldwide.

A.M. Best’s rating methodology, “Life Settlement Securitization,” is available at www.ambest.com/debt/lifesettlement.pdf.

For access to special reports, analytical methodologies and transactions relating to insurance-linked securities, please visit http://www3.ambest.com/sfc/.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.