Description: Presented at May 2002 Spring Meeting. This session covers the AICPA's proposed statement of position on accounting and reporting by insurance enterprises for certain nontraditional, long-duration contracts and for separate accounts. It requires new GAAP reserves for certain variable annuities with guaranteed minimum death benefits 'GMDBs'.

Description: This session discussion will look at how the industry has responded to the spirit and letter of Financial Accounting Standard FAS 97. From Record of the Society of Actuaries Vol. 15, No. 3A.

Description: This paper was prepared in order to set down some of the approaches which might be followed in carrying out the mandate to apply GAAP to stock life insurance companies. Followed by discussion papers submitted by 2 authors

Description: Overview of activities of the Financial Reporting Section.

Description: The American Academy of Actuaries identified two general approaches to the purchase accounting problem in its Interpretation I-D. The approaches are referred to therein as the defined initial reserve method and the defined valuation premium method, and the Interpretation does not show favoritism toward one or the other. This paper submits a 'best' method, arrived at through the following steps: 1. The purchase accounting problem is defined, 2. The effects of the defined initial reserve method and the defined valuation premium method on the ensuing profit projection and resulting balance sheet are examined, and 3. One method is shown to be the most consistent mechanically and most consistent with generally accepted accounting principles 'GAAP'. Finally, this paper discusses a few of the considerations in setting the actuarial assumptions to be used for purchase accounting. The task is slightly less difficult when using the method suggested as best. From Transactions of Society of Actuaries 1982, Vol. 34.

Description: Discusses: [1] the effects of Financial Accounting Standard No. 97 [FAS 97] on recoverability and loss-recognition issues, [2] interest-crediting strategy, ways and means of maintaining the planned interest spread, the effects of the various strategies on lapse experience, and the ultimate effect on recoverability of the deferred acquisition costs, and [3] premium-deficiency testing and the modification of interest, mortality, and expense margins to satisfy the question of loss recognition, or lack of the ability to recover the remaining deferred asset. From the 1988 Record of Society of Actuaries, Vol. 14, No. 3.

Description: This session at the 2003 Valuation Actuary Symposium reviews the actuarial aspects of GAAP accounting including methods and considerations of reporting under FAS 60, FAS 97, FAS 120, FAS 133 and Purchase GAAP. Examples and financial statement case studies are introduced.

Description: 1999 SOA Annual Meeting, San Francisco. This panel discussion dealt with several new product types and the accounting profession's efforts to provide guidance. The five product types below do not fit neatly into the rules set forth in Statement of Financial Accounting Standards 50 and 97: 1. Variable annuities with guaranteed living benefits. 2. Equity-indexed products. 3. Market-value-adjusted annuities. 4. Annuities with a front-end bonus feature. 5. Investment contracts with no significant source of profit other than interest spread.

Description: This session 60OF of the 2004 Valuation Actuary Symposium open forum addresses current issues of interest to actuaries in the application of U.S. GAAP. Experts in the application of GAAP to life insurance companies lead discussions on the theoretical and practical aspects of these topics and other emerging issues.

Description: This paper presents a policy-year model for GAAP valuation of reinsurance accepted on the coinsurance and modified coinsurance bases. Also presented are the interrelationships between the model's methodology and statutory accounting procedures, a discussion of experience-refunding situations, and a demonstration of the model's ability to yield GAAP profits as a level percentage of premium. From Transactions of Society of Actuaries 1981, Vol. 33.