Description: An overview of guaranteed lifetime withdrawal benefits (GLWB) on registered index-linkedannuity (RILA) products and a stochastic analysis of market risks.

Description: Recently the interest rates have been slowly trending up from the lowest point in August 2020. The focus of this article is on current market trends for long-duration products —including life insurance, annuities, and long-term care insurance —following an extended period of low interest rates, and lessons carriers can learn from similar historical periods of rising interest rates. Innovative and flexible product features will continue to be essential, as the current interest trend may not substantially increase insurers’ portfolio rates. When designing or modifying product features, insurers should consider profitability in a wide breadth of interest rate scenarios and be particularly mindful of the impact that crediting rates and asset durations will have on earnings.

Description: A look back over 20 years to see how product topics of the day have changed and remained the same.

Description: This article presents a discussion of Actuarial Guideline 54 (AG LIV), both the regulatory impetus in its creation as well as the requirements it outlines for a RILA contract to qualify as a variable annuity under the NAIC Variable Annuity Model law and thus be exempt from Fixed Annuity Non-Forfeiture Requirements. Includes an example calculation.

Description: This article analyzes, understands, and discusses the impact of the upcoming Principle-Based Reserving (PBR) on non-variable deferred annuities.

Description: Article discusses the mechanics of index-linked annuities and the growth of RILAs

Description: Insurers are struggling to keep pace with rapidly changing economic conditions, customer needs and regulation. We at Oliver Wyman believe there is an opportunity for many insurers to generate more customer value and fuel their growth by rethinking their approach to Product Development.

Description: Since the last installment of the biennial WTW North America Life Insurance Pricing Methodology Survey in 2018, the market has been coming to terms with the prospect of “lower for even longer” interest rates and been confronted with the economic and social impacts of the COVID-19 pandemic. This article examines what effects these and market-specific factors have had on profit targets and pricing and reserving strategy. The survey looked at the profit objectives and assumptions used in pricing 2020 new issues of individual life and annuity products, with a focus on past practices, not future plans.