Description: This article examines the impact of a changing smoking rate on population-level mortality improvement and the importance of taking this driver into account.

Description: The recent release of the RP-2014 Mortality Table and Scale MP-2014 exposure drafts represent the SOA’s first comprehensive reexamination of U.S. pension-related mortality assumptions in over a decade. This paper summarizes the key conclusions reached in those exposure drafts and the estimated financial impact of adopting the new mortality assumptions.

Description: The most recent demographic data published in Mexico allows us to analyse in detail the profound demographic transition that has been taking place in the country for more than four decades. It is possible to develop forecasts for the future on the basis of this historic experience. The purpose of this article is not only to illustrate the profound demographic change in Mexico – and what it is expected to experience over the coming decades – but to highlight the challenges for the insurance industry posed by the various demographic trends. Wherever challenges are found, however, opportunities also exist, provided the industry succeeds in adequately transforming its own processes and meeting the needs of a changing market.

Description: This article talks about longevity risk and reinsurance and its global challenges.

Description: Pricing longevity swap reinsurance transactions consists of a number of different actuarial tasks, each of which hides potential pitfalls. The article outlines the pricing process, which includes a detailed analysis of current mortality experience of the portfolio to be transferred, choice and calibration of an appropriate model for mortality improvement trends and the calculation of a risk margin which reflects the uncertainty associated with the pricing best-estimate, which includes mis-estimation risk, model risk, longevity basis risk and stochastic uncertainty.

Description: Effective risk management of a portfolio demands accurate and succinct models which explain the main risk factors. We look at the various requirements we demand of a model, and find that they can all be met with an import from medical statistics: survival models.

Description: A description of the 2014 Living to 100 Triennial Symposium including a summary of some of the papers presented, a description of the international aspects, and links to the Living to 100 website.

Description: This article describes some of the drawbacks to the assessment of longevity risk adopted by most practitioners within the UK together with an initiative that provides a platform for an alternative approach that is both (a) more forward-looking in nature and (b) can complement current practices.

Description: A Discussion of why female mortality is higher than male mortality at higher ages.

Description: View the complete issue for the August 2014 Reinsurance News newsletter.