Points, Perks and P&C: How Actuarial Thinking Powers the Loyalty Economy

What do airline miles, hotel points, and your favorite store rewards have in common with insurance reserves? More than you’d think.

In this episode of Almost Nowhere, hosts Alicia Burke (CAS Institute) and Max Martinelli (Akur8) sit down with Len Llaguno, FCAS — board member of the CAS and founder of KYROS Insights — to explore how actuarial skills are reshaping the $100B+ loyalty economy.

Len shares how his firm blends machine learning and actuarial science to help loyalty programs predict redemption behavior, manage liabilities, and design smarter customer strategies. From airline programs now worth more than the flights themselves, to surprising consumer red flags, to why actuaries may be the missing ingredient in industries far beyond P&C, this conversation shows how risk thinking travels.

Key themes you’ll hear:

• Why loyalty points are reserves in disguise

• The wild economics behind airlines’ biggest profit centers

• How consumer patience (or lack of it) reshapes program sustainability

• Why de-averaging data beats triangles every time

• And Len’s candid advice for actuaries who want to leap beyond insurance

If you’ve ever wondered where actuarial skills can create new value—or if you’ve just gamed a loyalty program for that free trip—you won’t want to miss this one.