The DFA Process
The DFA process refers to a high-level overview of how current strategies are evaluated and how strategic alternatives are developed. We have outlined, in Figure 2, the DFA process that was used for the DFAIC analysis.
The Dynamic Financial Analysis Process
1, Set Goals and Objectives
The remainder of this paper will explore the assumptions and model details that we used in performing DFA on DFA Insurance Company. We will run through the seven steps of the DFA process and describe the work performed in each step. We will conclude this paper with some final thoughts on this exercise and on DFA in general.
Introduction to DFAIC
DFAIC is a privately held property-casualty insurance company operating in all fifty states, with business concentrations in the northeast and mid-west. The company writes personal and "main-street" commercial coverage through independent agents and