Description: This paper develops the binomial version of the Lee-Carter model and provides a comparative study of simulation strategies for assessing risk in mortality rate predictions and associated estimates of life expectancy and annuity values in both period and cohort frameworks.

Description: The Society of Actuaries’ Pension Section has completed a research effort exploring the value of longevity pooling and its implications.

Description: This 1960 report presents the results of the investigation of the mortality and withdrawal experience under permanent forms of life insurance policies issued on the attained age basis without medical examination under the Group Life conversion privilege. From the Transactions of Society of Actuaries, 1960.

Description: We employ a framework for the classification of mortality evolution patterns to HMD data. We find both supra-regional patterns and outliers from global trends.

Description: Presents the results of the investigation of the mortality and withdrawal experience under permanent forms of life insurance policies issued on the attained age basis without medical examination under the Group Life conversion privilege.

Description: In the June 2014 issue of Product Matters, Doug Robbins of Pacific Life authored a fascinating article entitled “Velocity of Diversification.” Therein, he proposed a pricing measure that describes the “…speed at which confidence in profitability is attained”. How can stochastic modeling of mortality be applied to analyze the velocity of diversification, and how would that measure be affected by volatility in the underlying assumptions?

Description: The purpose of this paper is to illustrate the effects of projected mortality on the pricing and valuation of individual immediate annuities. Also discusses considerations in underwriting substandard annuities. Finally, a discussion of this paper is included.

Description: We ask whether we can find support for the previously reported upper limit of the force of mortality of 0.7, i.e. about the probability of tossing a fair coin.

Description: Recent advances in mortality modeling have enabled applicant-specific quantification of mortality risk in life insurance applicants using laboratory and physical measurements. Relative to more conventional underwriting, this approach identifies a small population of significantly under-priced policy and a much larger, cross-subsidizing group whose risk is presently overestimated. Applicants placed in the highest percentile by this scoring methodology are more than 10X as likely to die in a given period as their demographic peers, and represent approximately 5% of short-term claims. Implications for product design are substantial in both the short- and long-term, as the possibilities for adverse selection grow, and the opportunity for fully individualized pricing raises the more distant prospect of products with as many rate classes as applicants.

Description: This article discusses David Garrick Halmstad and his ten volumes from the Skandia Insurance Group's International Symposia on various medical impairments. While many of the papers in the volumes are of interest primarily to medical directors, there are some in each volume dealing with epidemiology and statistics that could be of interest to actuaries. As an example there are papers on alcohol consumption which are discussed in detail in this article.