CAS Exam 7 case studies
CAS Exam 7 · Put your knowledge to work in context.
Exam 7 sits in the FCAS tier of the Casualty Actuarial Society's exam ladder, alongside Exam 8 and Exam 9, and comes after the ACAS exams (Exams 1 and 2, MAS-I, MAS-II, the CAS DISCs, the Course on Professionalism, Exam 5, PCPA, and an Exam 6 variant). The CAS describes itself as the trusted global authority advancing property and casualty actuarial science, with nearly 12,000 members worldwide, and it delivers credentialing, research, and professional development grounded in real-world application. Exam 7 is aimed at candidates who have cleared the associateship requirements and are working toward Fellowship; its subject matter spans estimation of liabilities, valuation, and enterprise risk management, the technical territory of reserving and risk work that senior P&C actuaries do day to day. Preparation should follow the official syllabus and its listed readings rather than third-party shortcuts: work through the source material, build your own formula and method summaries, and practice under timed conditions using past exams and pass marks published by the CAS. The CAS Exam 7 case studies are 5 cases and about 2,782 words.
1Workers' Compensation IBNR After a Claims-Handling Consolidation
A monoline workers' compensation insurer writes in three states. For accident year 2023 at 12 months, paid losses are 12.4M, case reserves are 18.1M, and reported claims are 1,150.
623 words, about 3 min2Excess Liability Reserve with Sparse Large-Loss Experience
A specialty insurer writes occurrence-based excess liability over a 1M self-insured retention, with a 10M per-occurrence limit. The book began in 2019, and cumulative earned premium through 2024 is 70M.
550 words, about 3 min3Fair Value Risk Margin for an Assumed Reinsurance Portfolio
An insurer is valuing a portfolio of assumed proportional reinsurance treaties for a fair-value disclosure. The expected present value of future claim payments is 240M using a risk-free curve.
558 words, about 3 min4Premium Deficiency and DAC Recoverability in Personal Auto
A personal auto segment has unearned premium of 85M at year-end. Deferred acquisition costs (DAC) are 12M.
520 words, about 3 min5Catastrophe Reinsurance Program and Risk Appetite
A regional homeowners insurer has 1.2B in insured value concentrated in a single hurricane-exposed state. Its risk appetite statement says the company must survive a 1-in-250-year hurricane without needing new capital.
531 words, about 3 min