Description: This paper discusses three methods for the amortization of deferred acquisition expenses, DAC and the results when actual experience differs significantly from that assumed. The methods include a static approach with prescheduled amortization, a dynamic technique called the expense reserve factor method, and an aggregate or accumulated premium revenue method. A discussion follows the paper. From Transactions of Society of Actuaries 1978, Vol. 30.

Description: This paper develops and presents a complete set of select mortality rates, for all issue ages, derived from the rates generally for five-year issue age groupings presented in the 1982 Reports for the 1975-80 Basic Tables. From Transactions of Society of Actuaries 1986, Vol. 38.

Description: This paper illustrated one approach to the calculation of reserves on group life conversions and alerts the reader to its possible favorable income tax implications under current United States law. Followed by 2 discussion papers submitted

Description: Examination of how mean reserve factors can best be calculated in light of the new accounting reporting requirements for the earnings of stock life insurance companies. Also examines some methods of expense amortization, including the reserve factor method, and also attempt to show an informative comparison of how reported calendar-year earnings can be expected to emerge with statutory mean reserve factors, natural mean reserve factors, and assorted expense amortization methods. Followed by several submitted discussion papers

Description: The principal objective of this paper is to remind actuaries of the rather significant misconceptions and distortions commonly encountered in the use of individual accident and health insurance loss ratios. From Transactions of Society of Actuaries 1979, Vol. 31.

Description: This paper, first published in 1982 in the Transactions of Society of Actuaries, Vol. 34, discusses the phenomenon of durational antiselection, a commonly observed steady and seemingly irreversible increase in loss ratios on mature blocks of individual health insurance policies. The author, William F. Bluhm, constructs a model to explain the deterioration of loss ratios over time, and to quantify the cumulative antiselection effect. This paper was awarded the 1980-82 Triennial Prize. The paper includes written discussion and the author’s review of discussion.

Description: Financing a defined benefit pension plan can be accomplished in various ways. With the help of a one-life example, this paper gives an elementary actuarial perspective of the problems that arise when a new defined benefit pension plan is initiated, and of the various actuarial concepts and methods developed to ascertain the cost of these pension benefits. The paper shows the range of the cost alternatives conceptually available upon creation of the pension plan. Actuarial formulas are provided in footnotes. The paper is intended as an introduction to defined benefit pension cost determination as well as an elementary example which may be of value in explaining cost alternatives to an actuary's client. From Transactions of Society of Actuaries 1975, Vol. 27.

Description: This paper attempts to reduce several variables to their bare minimum and to investigate how the cost of vesting depends upon those few that remain. From Transactions of Society of Actuaries 1972, Vol. 24, Pt. 1, No. 70.

Description: This paper describes the actuarial valuation method for pension plans, the formulas and assumptions used, and the way these assumptions might be chosen. A case study is presented. Followed by several discussion papers submitted

Description: The author, noting the inadequacy of traditional ‘rules of thumb’ used for profit objectives, demonstrates that, assuming a stock life insurance company’s objective is to maximize its current value, the profit objective can be expressed as maximizing ‘the present value of book profits per unit of limiting constraint.’ Includes discussion and author’s review of discussion. From Transactions of Society of Actuaries 1983 Volume 35.