Description: We derive formulas for calculating the premiums that should be charged on policies in a discounted cash flow model with tax reserves and required assets that are determined by regulation. We also determine the unique division of required assets into “reserves” and “capital” that allows the product profitability to be correctly evaluated. That is, the profit after capital charges is zero if the product achieves the return assumed in pricing. We illustrate the concepts using whole life insurance and guaranteed minimum death benefit examples.

Description: This report describes and demonstrates a method to understand reputational risk that an insurance company can apply to the unique circumstances of the insurance firm. This method applies a policy-capturing survey with scenario analysis to generate insight into reputational risk from the perspective of a variety of stakeholders. Also included is instruction for spreadsheet-based query and reporting to facilitate the use of the information in the risk management function.

Description: The SOA Research Institute Aging and Retirement Strategic Research Program and Retirement Section are pleased to make available a research report that examines megatrends and potential paradigm shifts, and how they may impact the future of retirement and retirement plans, as well as the macro forces that will shape those trends.

Description: This report aims to help actuaries and other interested parties to define the relative differences in managing risks between the insurance and banking industries. This report guides actuaries and others about change risk management practices to prevent future financial failures. The paper seeks to examine what factors account for the differences in the United States, compared with Canada about the underlying causes and effects of the most recent crisis with financial institutions.