Motor Insurance Administration Training

The key objective of this Specialist in Credit Risk Evaluation, Modelling and Management training course is to empower professionals to—
• develop a thorough understanding of credit risk evaluation, modelling and management
• apply advanced concepts to evaluate and manage risks for one’s organisation
• devise and build effective models for credit risk evaluation and management, thus safeguarding organisational interests and supporting organisational growth
• mentor other professionals on effective credit risk evaluation, modelling and management
• multitask and manage various functions concerning credit risks, thereby demonstrating one’s potential to undertake higher roles and responsibilities supporting career growth
• review existing information to check for risks that could cause financial losses to one’s organisation
• contribute to organisational growth and development through effective risk assessment and management
• understand and work with advanced technology to make the credit risk evaluation process faster and smarter
• assume higher roles and responsibilities requiring supervision of the entire credit risk evaluation process, thus increasing opportunities for growth and development
• take timely decisions in case of defaulters and other challenges impacting one’s organisation financially
Course Content
Five C’s of Credit
• Character
• Capacity
• Capital
• Collateral
• Conditions
Principles of Lending
• Liquidity
• Safety
• Diversity
• Stability
• Profitability
Types of Loans
• Long-term loans
• Short-term loans
• Lines of credit
• Alternative financing
Credit Risk Assessment – Financial Ratios in Altman’s Z-Score
• Working capital/Total assets
• Retained earnings/Total assets
• Earnings before interest and tax/Total assets
• Market value of equity/Total liabilities
Types of Letters of Credit
• Revocable
• Irrevocable
• Sight
• Term
• Confirmed
• Revolving
• Transferable
• Standby
• Red clause
Default Probability Estimation
• The Merton model
• The Jarrow—Turnbull model
• The mean value model
• The CRE model
• Logistic regression
• Gradient boosting
• Markov chain modelling
Enterprise Financial Status Indicator
• Financial structure
• Earning ability
• Operating ability
• Debt paying ability
• Cash flow
• Growth
Enterprise Credit Risk Mode
• Statistical model
o Discriminant analysis
o Linear multi-discriminant analysis
o Logistic regression
o Bayesian risk discriminant analysis
o Cluster analysis
• Neural networks
o Multilayer perception
o Back propagation
o Radial function neural network
o Probabilistic neural network
o Self-organised competition
• Learning vector
o Support vector machine
• Soft computing
o Grey relational of reduction knowledge
o Genetic algorithm of reduction knowledge
o Fuzzy rough sets approach
• Survival analysis
o Credit risk modelling based on survival analysis
o Corporate credit risk and macroeconomy
• Hybrid models
o Rough—K nearest neighbour
o Rough sets—Neural network
o Fuzzy rough sets—Nearest neighbour
o Fuzzy—Nearest neighbour
o Support vector machine—Nearest neighbour
o Ant colony algorithm
Critical Aspects of Credit Risk Management
• What is risk management and its definition
• Know your customer
• Credit evaluation process
• Structure the offer
• Close deal
• Monitor performance
Steps for Effective Credit Risk Mitigation
• Written credit policies
• Standardised credit packages
• Experienced underwriting/decision making
• Loan approval authority
• Well-managed credit risk rating system
• Accuracy of loan documentation
• Monitoring/reporting of loan performance
• Problem asset management
• Adequate loan loss reserve
• Independent loan review and audit
Credit Risk Control Framework
• Risk analysis
• Risk control
• Risk transfer
• Risk monitoring

METHODOLOGY
The training methodology integrates lectures, interactive discussions, collaborative group exercises, and illustrative examples. Participants will acquire a blend of theoretical insights and hands-on practical experience, emphasizing the application of learned techniques. This approach ensures that attendees return to their professional environments equipped with both the competence and self-assurance to effectively implement the acquired skills in their responsibilities.

DATE:
1ST BATCH: 14th – 17th Apr,2025
2ND BATCH: 19th – 22nd Aug,2025
3RD BATCH: 9th – 12th Dec,2025