Description: Summarizes the Section's sponsored 2011 Annual Meeting sessions: business meeting, receptions and 3 programs - 'IFRS: The Future of Accounting for Insurance and its Implications', 'Where Enterprise Risk Management Meets Capital Management' and 'Managing Longevity and Mortality Risks and their Global Activities', plus some non-technical sessions on successful retirement.

Description: In this article, we summarize inflationary factors that may result in a sharp increase in interest rates and implications for life insurer convexity risk exposure, most notably to dynamic policyholder lapsation. We further provide insights into potential ALM strategies to mitigate this convexity risk. Due to the prolonged low-interest rate environment and low minimum interest rate guarantees offered to policyholders, liability convexity is higher than prior historical periods, which results in life insurers’ ALM positions being extremely vulnerable to short-term interest rate spikes. Convexity mismatches cause issues for life insurers under both rising and declining interest rate scenarios. This means that life insurers are not compensated for taking convexity risk and, therefore, convexity matching should always be considered in the asset optimization process. There are mixed signals from policymakers and financial markets regarding potential inflationary and sharply rising interest rate scenarios. The key takeaway is that life insurers are not compensated for taking convexity risk and it is the right time for insurers to review convexity exposure. There are different approaches available to mitigate convexity exposure through rebalancing of asset positions and hedges within each life insurer’s risk limits.

Description: Describes several regulatory changes that may impact the actuary working in a small company. These changes are not related to Principle Based Reserving.

Description: Recently, the media has begun to focus on the “capital squeeze” facing the life insurance industry. The February 20 issue of National Underwriter reported on a study just completed by Standard & Poor’s: “The life insurance industry is caught in an unprecedented squeeze on capital...

Description: In this article, the author explains what a CAT model is.

Description: Quarterly update on regulatory trends of interest to financial reporting actuaries.

Description: Strategic Risk Management was given lower priority in a recent survey of ERM Objectives. This article tells how the author believes that recent events have caused many to shift to a more short term focus and in the future there will be a shift back to a priority for the longer term view that stands behind Strategic Risk Management when the environment settles down and things again seem to be more predictable.

Description: An exploration of risk management challenges in the Middle East, including historical overcapitalization, inadequate data and governance issues.

Description: The editors provide highlights of the articles included in the April 2016 issue of Risk Management.

Description: The September 2014 Issue of the Financial Reporting Section's newsletter, The Financial Reporter