Question :

1. From your dataset calculate solvency ratio for the respective years Solvency ratio is calculated as the amount of Available Solvency Margin (ASM) in relation to the amount of Required Solvency Margin (RSM). The ASM is the value of the companys assets over liabilities, and RSM is based on net premiums

(a) Comment on the solvency ratio for your company

provisions as Unearned Incurred Loans Other per balance Premium Admitted But Not Investme (Part of Current Fixed Intangible Total Year Company sheet Provisions Claims Reported nts assets) assets Assets Assets Assets 2016 BSP HEALTH 12,172 10,082 1,401 691 9,541 0 8,843 0 486 18,670 2017 BSP HEALTH 15,912 12,664 2,241 1,007 13,537 0 10,437 0 261 24,271 2018 BSP HEALTH 0 0 0 0 616,464 72,809 15,621 1,301 10,355 720,794 2019 BSP HEALTH 15,262 11,491 2,663 1,108 15,500 0 11,392 0 0 287 27,179 2020 BSP HEALTH 15,699 12,367 2,531 801 8,000 0 21,301 0 431 29,732 Under Net Net writin Underwri NON- Managem Net Earned Claims g ting underwr ent/Admi Other Borrowings Total Contingen Total Premium Premiu Incurre Expen Surplus/D iting nistrative Net profit Net profit Year Provisions (Liability) Liabilities t Liability Equity Inome ms d ses eficit income expenses before tax after tax 2016 219 0 13,862 50 4,808 16,651 15,298 10,056 1,827 3,415 360 3,223 522 534 2017 276 0 18,222 85 6,049 21,224 18,640 12,667 2,219 3,744 548 3,314 978 753 2018 20,030 0 633,828 530 86,966 68,006 0 0 0 o 0 0 0 25,359 21,835 2019 259 0 0 17,940 813 9,239 20,646 20,817 14,276 2,471 4,070 862 2,997 1,935 1,525 2020 772 0 19,472 36 10,260 21,055 20,179 13,480 2,504 4,192 874 3,763 1,303 1,021 care are From your dataset calculate solvency ratio for the respective years provisions as Unearned Incurred Loans Other per balance Premium Admitted But Not Investme (Part of Current Fixed Intangible Total Year Company sheet Provisions Claims Reported nts assets) assets Assets Assets Assets 2016 BSP HEALTH 12,172 10,082 1,401 691 9,541 0 8,843 0 486 18,670 2017 BSP HEALTH 15,912 12,664 2,241 1,007 13,537 0 10,437 0 261 24,271 2018 BSP HEALTH 0 0 0 0 616,464 72,809 15,621 1,301 10,355 720,794 2019 BSP HEALTH 15,262 11,491 2,663 1,108 15,500 0 11,392 0 0 287 27,179 2020 BSP HEALTH 15,699 12,367 2,531 801 8,000 0 21,301 0 431 29,732 Under Net Net writin Underwri NON- Managem Net Earned Claims g ting underwr ent/Admi Other Borrowings Total Contingen Total Premium Premiu Incurre Expen Surplus/D iting nistrative Net profit Net profit Year Provisions (Liability) Liabilities t Liability Equity Inome ms d ses eficit income expenses before tax after tax 2016 219 0 13,862 50 4,808 16,651 15,298 10,056 1,827 3,415 360 3,223 522 534 2017 276 0 18,222 85 6,049 21,224 18,640 12,667 2,219 3,744 548 3,314 978 753 2018 20,030 0 633,828 530 86,966 68,006 0 0 0 o 0 0 0 25,359 21,835 2019 259 0 0 17,940 813 9,239 20,646 20,817 14,276 2,471 4,070 862 2,997 1,935 1,525 2020 772 0 19,472 36 10,260 21,055 20,179 13,480 2,504 4,192 874 3,763 1,303 1,021 care are From your dataset calculate solvency ratio for the respective years