Description: Analysis of IASB position on the discount rate to use in computing the Fair Value of Insurance Liabilities

Description: Feature article discussing the happenings at the recent International Actuarial Association (IAA) meeting.

Description: Economic capital is everywhere you look in the insurance industry these days. Article explains reasons for this and discusses recent developments and the impact on the financial reporting actuary.

Description: Review of modeling of impact of proposed GAAP changes and commentary on preparedness based on company survey.

Description: The International Accounting Standards Board issued a Discussion Paper, Preliminary Views on Insurance Contracts, discussing the many issues surrounding accounting for insurance contracts and presenting current views in a number of areas. The SOA published a research report on the impact of these Preliminary Views - which is summarized chapter-by-chapter in this article.

Description: Article discusses valuation and Risk Based Capital results for a sample variable annuity block of business. The valuations were performed under the current rules and guidelines in effect until Dec. 31, 2009 and also under Actuarial Guideline 43 which is effective Dec. 31, 2009. The RBC was determined using the C-3 Phase II methodology. The article also presents analyses of the impact to AG 43 results from extending projection periods and from utilizing alternative economic scenario sets.

Description: Feature article discussing the insurance industry in Australia.

Description: The article is based on a study of root causes in insurer insolvencies and impairments, with the focus on potential risk factors and prevention measures.

Description: Performance measurement is not the primary purpose of either GAAP or statutory accounting. This article discusses alternative methods of reporting used by life insurance companies to better measure financial performance.

Description: The selection of the economic capital calculation approach becomes more of a modeling decision. Now let us pause here and think about the arbitrage-free assumption at the beginning. At any time, there can be only one price on any asset. If the company considers the price calculated above as the fair price for its products, then it must hold true that the same price has to be arrived at if the company uses a real-world pricing approach instead of a risk-neutral approach. This gives us a very good basis to calibrate the appro- priate economic capital.