We have extensive experience in developing and enhancing Prophet models for life insurers and family takaful operators. Our Prophet projects range from full model builds—developed from the ground up to ensure transparency and user ownership—to enhancements that support new regulatory and reporting requirements, including IFRS 17 and RBC2. Our approach prioritizes clarity and sustainability, avoiding “black-box” structures and empowering clients to maintain and adapt their models with confidence.
Prophet Models for Life Insurance Products
Our Prophet models for life insurance are developed entirely from the ground up, ensuring that every component is purpose-built to match the client’s product and reporting requirements. We adopt a consolidated library structure, allowing a single library to support multiple product lines—including participating, non-participating, universal life, and investment-linked products.
This unified design promotes consistency, simplifies maintenance, and reduces duplication, while still accommodating the distinct features of each product type. The result is a flexible and scalable modelling environment that is easy for actuarial teams to understand, operate, and enhance as business needs evolve.
Prophet Models for Family Takaful
Our Prophet models for Family Takaful are built with the same robust foundation as our life insurance models—developed from the ground up and structured within a consolidated library that supports multiple product types. What sets these models apart is their ability to handle takaful-specific features and terminology, which are not available in standard Prophet libraries. Key components such as wakalah fees, profit sharing, surplus distribution, qard (benevolent loan), and the allocation of management expenses to the shareholders’ fund are fully integrated into the modelling logic.
This ensures that the Prophet models accurately reflect the operational and financial principles of Family Takaful, providing clarity, transparency, and regulatory alignment.
IFRS 17 Enhancements: Roll Forward, Business Planning, and AOC in One Run
We have supported clients in enhancing their Prophet models to meet the requirements of IFRS 17 implementations, with a focus on enabling both monthly roll forward calculations and business plan projections within the same Prophet model structure. The flexibility built into the model architecture ensures that IFRS 17 calculations—such as contractual service margin (“CSM”) and loss component (“LC”) roll forwards—are handled accurately and aligned with financial reporting timelines.
In addition, we have implemented functionality to perform Analysis of Change (“AOC”) within a single Prophet run, eliminating the need to split calculations across multiple runs. The models are designed to dynamically retrieve the appropriate assumptions for each AOC component—such as opening balances, new business, and assumption changes—without requiring manual updates to the assumption tables. This streamlined setup improves efficiency, reduces operational risk, and enhances traceability for audit and review purposes.
Enhancing Existing Prophet Workspaces for Regulatory Changes
In addition to full model builds, we support clients in enhancing their existing Prophet workspaces to meet evolving regulatory reporting requirements. As frameworks such as RBC2 in Malaysia and Singapore continue to develop, actuarial models must be updated to reflect new calculation demands, disclosure structures, and scenario requirements.
Our support includes implementing changes such as rebasing calculations and calculation looping with flexibilities, allowing clients to generate results under multiple stress or assumption sets within a single run. These enhancements help ensure compliance while maintaining model transparency, efficiency, and consistency across reporting cycles. We work closely with internal actuarial teams to integrate these updates into existing Prophet structures—minimizing disruption while maximizing model value.
