Actuary

WSTIP utilizes an independent actuary firm, PricewaterhouseCoopers (PwC) to review claims reserves and establish rates for coverage. We have been fortunate to have Kevin Wick and Craig Scukas as our actuaries for many years. They understand our business, our Members and our desire for financial adequacy. Kevin, Craig and the PwC team recompute the cost of WSTIP's claims liabilities using a variety of actuarial and statistical techniques to produce current estimates that reflect recent settlements, claim frequency, and other economic and social factors. Understanding all the interworkings of the actualrial reports can take time, years even.  To keep things simple, Kevin and Craig do four really important things for us:

1. Figure out how much money we need to collect to pay for losses each year;
2. Check their assumptions once a year;
3. Decide how much money we need to collect annually from each Member given each Member's loss history; and,
4. Every three years, conduct a larger capital funding study to see if we have enough financial reserves for a 1-in-100 year loss event.

By preventing losses and controlling the cost after accidents, we can keep our rates stable and harness our reserves to move further away from the commercial insurance market.