Description: Valuation Approaches for FAS 133 DIG Issue B36: Embedded Derivatives: Modified Coinsurance Arrangements and Debt Instruments That Incorporate Credit Risk Exposure That Are Unrelated or Only Partially Related to the Creditworthiness of the Obligor Under Those Instruments”

Description: An ongoing discussion of the theoretically correct discount rate for valuing insurance liabilities: whether or not the credit rating of the insurer should affect the discount rate used. See related articles including the article “On the Fair Value of Insurance Liabilities: The Regulator’s Option” in the December, 2005 issue of The Financial Reporter.

Description: ongoing discussion of the proper interest rate to use in discounting liability cash flows to reflect credit risk of the insurer in a fair value accounting system

Description: Article outlining the recent activity of the NAIC Life Actuarial Task Force LATF VM-20 Subgroup activities and the Academy’s Life Reserve Working Group dealing with feedback from the VM-20 impact study.

Description: Review of modeling of impact of proposed GAAP changes and commentary on preparedness based on company survey.

Description: This article summarizes recent proposed changes to the Valuation Manual that might take effect for 2019 valuations for PBR business.

Description: This is a stochastic model used to find the distribution of the discounted value of all future cash-flows.

Description: Implications of Consumer-Driven Health Care to consumers, employers and providers Issue No. 37.

Description: The article is a case study of various actuarial concepts invovled in the design and implementtion of the AQC - a global budget provider payment arrangement implemented by Blue Cross Blue Shield of MA.

Description: This paper develops credibility using a longitudinal data framework. In a longitudinal data framework, one might encounter data from a cross-section of risk classes towns with a history of insurance claims available for each risk class. For the marginal claims distributions, we use generalized linear models, an extension of linear regression that also encompasses Weibull and Gamma regressions. Copulas are used to model the dependencies over time specifically, this paper is the first to propose using a t-copula in the context of generalized linear models. The t-copula is the copula associated with the multivariate t-distribution like univariate t-distributions, it seems especially suitable for empirical work. Moreover, we show that the t-copula gives rise to easily computable predictive distributions that we use to generate credibility predictors. Like Bayesian methods, our copula credibility prediction methods allow us to provide an entire distribution of predicted claims, not just a point prediction.