Financial services  is a sector where knowledge is a competitive weapon. Capgemini understood that their knowledge was a strategic asset for innovation by their customers and wanted a way to leverage their expertise in the  Pension and Life Insurance market. In a project with Capgemini, a solution has been developed for Life Insurance and Pension Plans that embodies domain expertise from Capgemini to be augmented with customer specific insurance plans.

“Normally I know what I want, but don’t know how to tell engineers. Now I can do this myself. This is a revolution!” – Capgemini Pension Expert

Current Situation

Capgemini has a number of experts in the life insurance and pension plan domain that work closely together with their customers in designing insurance systems. The pension insurance domain is extremely complex with a typical insurer having multiple pension plan products, each having hundreds of plan specific rules with a stringent regulatory environment. Each plan might have between thousands and millions of insured participants, where each insured has up to 40 years of personal employment data history. In an increasingly global and fragmented competitive environment, the challenge to support existing and emerging insurance products are enormous. Capgemini experts keep their knowledge in extensive documents and spreadsheets, and especially in their head.  The problems arise from time to market pressure, complexity of product models, all while ensuring quality in an increasing regulatory transparency environment.

Presentation of Pension Workbench by Henk Kolk, CTO Financial Services, Capgemini. (26:25 min into the video)

Pension Workbench

The Capgemini Pension Workbench is a solution for specification and verification of insurance plans. The Workbench is intended for actuaries and pension analysts to define life insurance and pension plans. The Capgemini Workbench includes actuarial formulas, temporal business rules and test cases that run live during editing to ensure correctness. The business knowledge about Pension Plan administration is encoded in the Pension Workbench, and specific Pension Plans are created as versioned and audited documents using the workbench. From the Pension Plan document, calculation engines for Pension Fund administration can be generated.

“This is the stuff I had to do mentally and keep consistent in my head all the time. It’s great to finally have tools for it.” – Capgemini Pension Architect

How it was done

For the Capgemini domain experts it was important to match existing structures and notation that had been developed over several years. However, as the knowledge now would be processable for the first time, it was also important to define exactly what the knowledge was and what it meant. By developing several integrated business domain languages, an integrated Knowledge workbench was developed that recorded pension plan products, data definitions, temporal business rules and actuarial equations. It also embodied calculations of these pension plan products with verification data for individual rules as well as system level tests.