A pricing analyst’s job is to compare rival pricing to market expectations in order to identify the best target price for the company’s products.
Job Description
The pricing analyst is an important resource for providing pricing solutions to customers via sales and account management channels. Customers’ requirements, historical data, market conditions, and internal margin/revenue targets are all used by the pricing analyst to.
Responsibilities
Identify price activities that support higher sale values, conversion rates, inelasticity, margin rates, and customer satisfaction to increase total gross margin dollars.
Forecast margins to aid in the understanding of the impact of promotional and seasonal pricing on the firm.
Monitor input costing changes and establish sensitivity analysis criteria to offer reports on prospective pricing adjustments.
Present price analysis, together with insights, trends, and recommendations, at a monthly strategy meeting.
Bi-directionally communicate and assist in the implementation of pricing adjustments through the command chain.
Establish timeframes, define deliverables, and prepare messages or presentations for pricing-related tasks.
Maintain industry expertise and stay current by using information from financial magazines and services, government agencies, company sources, and personal interviews.
Skills and Requirements
Bachelor’s degree desired in finance, operations, research, statistics, math, economics, or a comparable analytical area.
Planning, forecasting, and business analytical experience in financial management
Drive analysis-driven change across the organization by working cross-functionally.
Demonstrates ability to solve difficult problems and to identify and implement process and system improvements.
Detailed knowledge of business intelligence tools as well as hands-on expertise assessing data, program metrics, and performance
What does an insurance analyst do?
An insurance analyst provides analytical services to help insurance businesses maintain a smooth operation. They are usually in charge of examining insurance plans to detect potential hazards for both the policyholder and the company, as well as authenticating client information and reviewing insurance applications for accuracy. They may visit with clients to answer questions, make plans, and recommend the best policies for them. In addition, while complying to the company’s policies and regulations, an insurance analyst may execute policy renewals and amendments, maintain records, perform cancellations, and investigate claims.
What is an actuarial pricing analyst?
As an actuary, you have a variety of options; learn more about what a Pricing Actuarial Analyst at Pacific Life Re does here…
I grew raised in China, but I wanted to see the world and learn about different cultures, so I decided to study Mathematics and Actuarial Science at the University of Waterloo in Canada. I performed many internships in both Canada and the United States while at university, which provided me a taste of what it’s like to work as an actuary. I relocated to London after finishing my undergraduate degree and graduating in 2015. I was fortunate enough to acquire a position as a pricing actuarial analyst at Pacific Life Re, so I finished my undergraduate degree and graduated in 2015.
Starting my career
I performed a couple of internships in an insurance company’s pricing department while in university. I was interested in opportunities in the insurance business because I appreciated the technical component of the pricing projects and the ability to put what I had learned at university into practice.
In my final year of education, I stumbled across the opportunity of Pricing Actuarial Analyst. I had no prior experience in reinsurance, but I was assured by several senior actuaries that it is a fascinating sector to work in. I had thoroughly loved my multi-cultural experiences in Canada and the United States, and this was one of the factors that influenced my decision to go to London.
After applying for the position at Pacific Life Re, I was pleasantly impressed by how kind and supportive the interviewers were throughout the process, and I determined that this was the greatest fit for my professional goals.
Life as a pricing actuarial analyst
Pacific Life Re is a life reinsurance firm, which means we insure life insurance businesses. The projects I’ve been working on for the past seven months have been fairly varied. The pricing department’s typical projects include calculating premium rates for potential clients (life insurance companies). This usually entails generating an opinion about the cost of life insurance in the future. Analyzing historical claims data and anticipating how claim rates will develop in the future is an important component of this. When there is a shortage of data or a new product feature is offered, this may also necessitate judgment calls. On a daily basis, my employment needs me to use spreadsheets, macros, and calculations.
I’ve also worked on internal projects aimed at improving our pricing process and providing our clients more actuarial information.
My current position is more client-focused than my previous jobs at insurance companies, which I appreciate. The position allows me to maintain a healthy work-life balance, but the nature of the job needs us to go above and above during peak times, especially when nearing quote/tender deadlines, which can be an exciting but hard time.
My coworkers are pleasant, resourceful, and always prepared to assist. I consider myself fortunate to have received such strong support from both my team and more senior colleagues. When I first started working for the company, I went to a variety of training courses, all of which I found to be quite beneficial and intriguing. Reinsurance training and corporate inductions were two of my favorite courses. The reinsurance training consisted of two half-day seminars during which I learned about the insurance/reinsurance market in the United Kingdom in general. The corporate introduction seminars were led by senior staff from each department, which I found really beneficial because it allowed me to have a deeper grasp of the company’s functions.
In comparison to my prior employers, the work environment at Pacific Life Re is professional but easygoing, with less of a sense of hierarchy. As a graduate, I’m encouraged to think for myself while also asking questions and challenging present practices.
When I can apply what I’ve learned in school to my current employment, I’m inspired. When it comes to industry practice and commercial understanding, however, there have been some steep learning curves. In general, these learning curves have aided me in rapidly expanding and developing my skill set, knowledge, and experience. I am constantly urged to consider the larger picture and compare reinsurance practices in nations such as the United Kingdom, Canada, and Singapore.
Transitioning to new cultures and future opportunities
My international travels have extended my perspectives and allowed me to grow as a more open-minded person. Every time I move outside of my comfort zone, I believe there are great opportunities for me to learn and better.
The most difficult component of moving to a different country for me has been the cultural transition. However, this was not surprising given that I had already made a comparable shift from China to Canada. Moving to London has given me a once-in-a-lifetime chance to learn how to adjust to a new environment, which is a valuable ability in today’s culture.
In addition to London, Singapore, Seoul, Boston, Toronto, and Sydney, Pacific Life Re has offices in London, Singapore, Seoul, Boston, Toronto, and Sydney. Pacific Life Re is able to offer international job possibilities due to its global footprint. After one or two years of training in the London office, I’d like to shift to the Singapore office. This is a once-in-a-lifetime opportunity for me to learn about reinsurance procedures on the other side of the world.
What are the 5 pricing strategies?
There are lots of methods to price your items, and depending on the market you serve, you may find that some are more effective than others. Consider these seven basic customer-attraction methods used by many new firms.
Price skimming
When a product is first introduced, it is initially priced high, but as more competitors enter the market, the price is gradually reduced. This form of pricing is beneficial for companies looking to expand into new markets. It allows businesses to profit from early adopters while also undercutting future competitors when they enter an already-developed industry. The effectiveness of your skimming strategy is primarily determined by the market you want to join.
Market penetration pricing
Price skimming is the polar opposite of market penetration pricing. You take over a market by undercutting your competition, rather than starting high and gradually dropping prices. You boost pricing once you’ve built up a loyal consumer base. Many considerations go into deciding on this strategy, such as your company’s ability to take losses up front in order to gain a solid foothold in a market. It’s also critical to cultivate a loyal consumer base, which may need the use of additional marketing and branding methods.
Premium pricing
Premium pricing is reserved for companies who produce high-quality goods and sell them to high-net-worth consumers. The key to this price approach is to provide a high-quality product that customers will view to be valuable. To appeal to the correct type of customer, you’ll most likely need to design a “luxury” or “lifestyle” branding approach.
What is an insurance analyst called?
Claims adjusters, sometimes known as insurance examiners, analysts, specialists, appraisers, or investigators, are responsible for determining how much an insurance company should pay for a loss or damage. They usually visit clients and assess a property that a policyholder claims was damaged.
What is an insurance analysis?
The decision to purchase insurance to protect against a specific risk is frequently based on a conclusion that personal resources will not be sufficient to pay the financial loss. Only an insurance analysis can accurately examine your financial condition and establish how much, if any, risk you can bear and how much should be transferred to an insurance provider. A large amount of cash is frequently required to replace lost income due to a premature death, disability, or catastrophic illness.
What do pricing actuaries do?
Actuaries who work in pricing and valuation for insurance companies are known as pricing and valuation actuaries. When determining premiums for various insurance products, pricing actuaries may collaborate with underwriters. Other professionals who might operate in an actuarial capacity include: