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An insurance Third-Party Administrator (TPA) handles various administrative services on behalf of an insurance company including claims processing, customer service, underwriting, policy management, and risk assessment. TPAs serve as intermediaries between the insurance company and the insured providing claims and other services that enhance the overall customer experience.


Our highly versatile and user-friendly Excel model allows for the preparation of a of 5-year rolling 3 statement (Income Statement, Balance Sheet and Cash flow Statement) financial projection with a monthly timeline for a startup or existing Third-Party Administrator (TPA) business offering premium and/or claims processing services.


The model allows the user to model up to 10 different insurance products (can be extended) including new business, renewals, cancellations, mid-term adjustments (MTAs) and claims payments for each product with applicable premium and claim fee revenue by volume and/or percentage for each product.


The model follows good practice financial modelling principles and includes instructions, line item explanations, checks and input validations and incorporates a discounted cash flow valuation calculation using the projected cash flows.





  • Projected full financial statements (Income Statement, Balance Sheet and Cash flow Statement) presented on a monthly basis across 5 years and summarised on an annual basis.
  • Dashboard with:
    • Summarised projected Income Statement and Balance Sheet;
    • Compounded Annual Growth Rate (CAGR) for each summarised income statement and balance sheet line item;
    • List of key ratios including average revenue growth, average profit margins, average return on assets and equity and average debt to equity ratio;
    • Tables and charts summarising revenues and volumes by product;
    • Charts and graphs showing: cash balance by month, free cash flow generation, cash flow statement breakdown, profit margins, income statement breakdown, net cash vs net income, working capital, valuation and capital structure.
  • Discounted cash flow valuation using the projected cash flow output





Setup Inputs:

  • Name of business;
  • Currency;
  • First projection year and month;
  • Naming for insurance products, direct expenses, staff costs, marketing costs, operating costs, fixed assets and borrowings;


Actuals Inputs:

  • Opening balance sheet (for existing businesses);
  • Income Statement actuals (for trend analysis);


Projection Inputs:

  • Premium and claims fee revenue including:
    • Premium rate per product (with separate inputs for new business, renewals, MTAs and cancellations)
    • Average policy coverage period
    • Average claims payment period
    • New business volume
    • Renewal rates
    • Cancellations rates (% of number of polices written)
    • MTA rates ((% of number of polices written)
    • Expected loss ratios and average claim size
    • TPA fees on volume of policies and/or claims
    • TPA fees as percentage of premium and/or claims
  • Direct expenses per year or month;
  • Staff cost inputs including staff numbers, average salary per full time position, average employer’s social security percentage of salary, average annual bonus and bonus payment months.
  • Other costs inputs including marketing costs and other operating costs;
  • Sales and corporate tax inputs including rate and payment periods;
  • Dividend inputs including amount (percentage of retained earnings) and frequency;
  • Fixed assets including addition amounts and useful life;
  • Borrowings including addition amounts, interest rate and maturity date;
  • Share capital additions;
  • Discount rate inputs (for valuation calculation).





  • The model contains a flexible timeline that allows for a mix of actual and forecast periods across a 5-year period. This allows projections to be easily rolled forward as forecast periods become actual period;
  • Timeline is split on a monthly basis and summarised on an annual basis;
  • The model is not password protected and can be modified as required following download;
  • The model is reviewed using specialised model audit software to help reduce risk of formula inconsistencies;
  • The model allows for the following number of underlying categories for each line item (these can be easily expanded if required):
    • Insurance products – 10 products;
    • Direct expenses – 5 categories;
    • Staff costs – 10 direct and 10 non-direct categories;
    • Marketing costs – 5 categories;
    • Other expenses – 15 categories;
    • Fixed assets – 5 categories;
    • Borrowings – 3 facilities
  • Apart from projecting revenue and costs the model includes the possibility to model fixed assets, borrowings (amortising), dividends and corporate tax;
  • Business name, currency, starting projection period are fully customisable;
  • Revenue, cost and fixed asset descriptions are fully customisable;
  • The model included an integrated discounted cash flow valuation using the projected cash flow outputs;
  • The model includes instructions, line-item explanations, checks and input validations to help ensure input fields are populated accurately;
  • The model includes a checks dashboard which summarises all the checks included in the various tabs making it easier to identify any errors.




Our models are developed with the user in mind and include instructions, line-item explanations, checks and input validations to ensure they are as user-friendly and easy to use as possible without requiring extensive knowledge of Microsoft Excel, finance or accounting. If any questions do arise, we are more than happy to assist. We are also happy to support with any be-spoke modifications you may require to the models to better suit your business needs. To get in touch, please send us a message through the website or contact us on:


Insurance Third-Party Administrator (TPA) Excel Financial Projection Model

SKU: PR0135
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