Description: This article highlights key regulatory and market developments in Bermuda and Cayman and the increasing role of actuaries in innovative structures like side cars and ISACs. With a focus on practical experiences and professional challenges, it offers a perspective on what these dynamic markets mean for the global actuarial community from someone working there.

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: This article discusses the guidance provided in IRS Notice 2022-6 and prior guidance on whether distributions from an individual account under a qualified retirement plan satisfy the exception to the 10 percent additional tax in Internal Revenue Code section 72(t) for certain substantially equal periodic payments.

Description: As the population and workforce age, it is important to rethink how and when we retire. This article provides a big picture overview of issues related to opening up more options for exit from the labor force and gradual retirement. It reviews developments in the last few years that are important including the growth of gig employment, more remote work, more technology, workforce shortages, and changes in employee benefits that previously were a barrier to gradual retirement. It calls for more focus on adaption to the aging society. Several publications are cited and it includes a reference list.

Description: The article investigates the reasons behind non-zero financial implications for fully reinsured businesses within the regulatory frameworks of US GAAP Long Duration Targeted Improvements (LDTI) and International Financial Reporting Standards (IFRS) 17. It helps companies grasp the nuances of these standards, thereby enhancing their risk management strategies, improving regulatory compliance and optimizing their decision-making processes.

Description: About a year ago we published our whitepaper “Insurance Innovation Opportunities Beyond COVID-19”. In the paperwe made some predictions on what innovation opportunities the pandemic would bring to the insurance space. It ishard to believe, but we’ve already had a year of living with the pandemic. In recognition of how much time haspassed, we want to look back at a few of our customer realities from last spring set against the innovations thathave been delivered in the market since.

Description: The Distribution Channels: Part 1 -- Agent Channels provides general information on agent distribution channels covering a high-level perspective of members and the pros and cons to insurers.

Description: Stakeholders in a specific state (Minnesota) were interviewed about the potential value -- and obstacles -- of a catastrophic backstop program to handle long term care (LTC) financing needs. The design would entail a payroll deduction which would produce a fund to pay LTC expenses once a deductible period (of 1 to 4 years, depending on income) was reached. This design was believed to encourage enrollees to cover the front end better than done today, whether by private insurance or other means.

Description: Combinations of risks are an important component of the Survey of Emerging Risks, now in its 15th iteration. Also known as risk clusters or compound risks, the most popular in the survey define threat multipliers, where a risk makes other risks worse. The top risks chosen are trended for the last 10 years, showing interesting cycles and discontinuities.

Description: The article argues that effective Enterprise Risk Management (ERM) should be tailored to fit a company’s unique characteristics rather than forcing a standardized "best practice" approach. Drawing from decades of experience, the author explains that companies often reject rigid ERM frameworks that don’t align with their business culture, risk philosophy, or strategic priorities. Key challenges include resistance to aggregate risk tolerance, formal governance structures, emerging risk management, and capital models that expose underperforming business units. The article suggests four steps for aligning ERM to a company: clarifying ERM objectives, understanding risk culture, leveraging existing risk management strengths, and committing to an iterative improvement process. A well-aligned ERM program can enhance strategic decision-making and resilience by being embraced rather than resisted.