Abstract: A method and system for specification and execution of complex pricing calculations for the insurance industry using a declarative approach to specify and execute the rules. Pricing Illustrator/Configuration is a unique combination of a process and system that defines, tests and implements complex business computations such as premium computations for the insurance sector. The invention provides a repeatable and well-defined process for specification, design and implementation of the rules and a flexible, rule based calculation/pricing engine that implements the rules defined without any programming. Using the concept of declarative rules, Microsoft Excel as the design time tool to specify the rules and execute the spreadsheet at runtime to compute the premium, the invention defines, tests and refines the rules in relation to a business need.