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: Discussion of NAIC efforts to amend the annuity nonforfeiture laws to respond to falling interest rates.

Description: Summary of the Life and Health Actuarial Task Force Meeting held in September, 2003

Description: A discussion of the growing popularity of annuities with guaranteed minimum income benefits GMIB during times of bear markets and some related discussion of product features, minimum statutory reserves and capital requirements for the product

Description: A discussion of the development, key elements, applications, and implementation process of the 2001 CSO Tables for individual life insurance policies for computing minimum reserves, nonforfeiture benefits and tax reserves.

Description: Investors in the Life Settlements Market have had to rely on simple actual to expected analyses for a quality assesment of life expectancy reports. This article presents an alternative validation methodology, which makes much better use of the available mortality information. Investors can thereby perform their own, statistically conclusive, analyses concerning the life expectancies on which they have based their pricing and management of future cash flows.

Description: Discussion of the necessity of nonforfeiture laws for life insurance and the inconsistencies in the laws between comparable products.

Description: Discussion the issues/difficulties associated with setting mortality assumptions for the later durations of life insurance illustrations. Because some UL products incorporate low cost of insurance charges in late durations as part of the current scale in the product design, some conclude that mortality improvement assumptions are being employed in the disciplined current scale, in violation of the Model Illustrations Regulation.

Description: This article provides a summary of the results from a recent Milliman survey. Survey results provide UL/IUL carriers with a benchmark to evaluate their practices relative to those prevalent in the industry.

Description: This article reports the maximum statutory valuation and nonforfeiture interest rates for calendar year 2004 issues of life insurance products and the maximum statutory valuation interest rates for calendar year 2003 issues of annuity products.