MONDAY, APRIL 8  TUESDAY, APRIL 9  WEDNESDAY, APRIL 10

 


Monday, April 8, 2019.
 

7–8 a.m.

Breakfast
 




8–9:15 a.m.

PBR 101: The Basics: 
Overview of the PBR Valuation Manual, VM-20 Overview, Qualified Actuary, and Stochastic, Deterministic, NPR Reserves. 

OR:

Advanced Breakout Group:
A workshop for those who are more advanced, e.g., who have gone through PBR, and want to discuss specific issues with others that have gone through the process.
 

9:15–9:30 a.m.

Break
 


9:30–11:00 a.m.

NPR, Deterministic and Stochastic Reserves: 
Includes topics such as utilization of the exclusion tests, considerations for calculation of NPR, examples highlighting key NPR results, the deterministic and stochastic exclusion tests and calculation of the minimum reserves.
 



11:00 a.m.–12:30 p.m.

Modeling Overview and Model Governance:
This session will cover the requirements around PBA modeling, including specific inputs, projection capabilities, and output formats.  Issues around in–force compression, scenario generation, platform development, cross–model leveraging, and model validation will also be discussed during the presentation. Will also discuss Model Governance Practice Note and Model Governance Checklist.
 

12:30–1:30 p.m.

Lunch
 

1:30–3:00 p.m.

Mortality Overview:
This session will includes consideration of aggregation of products in determining mortality rates and credibility percentages and blending into industry tables.
 

3:00–3:15 p.m.

Break
 

3:15–4:45 p.m.

Introduction to NAIC PBR Activities: 
Discussion of the NAIC PBA support staff and the activities they are working on including asset spreads and defaults; experience studies, discussion of reviews that have been done by NAIC staff and California.
 

4:45–5:15 p.m.

Discussion Groups
(Beginner vs advanced vs regulator)

 

6–7:30 p.m.
 

Reception
 


 

Tuesday, April 9, 2019.
 

7–8 a.m.
 

Breakfast
 

8–9:30 a.m.
 

Additional Liability Assumption Overview:
This session will cover the main assumptions necessary for a Term and/or ULSG PBR model. Assumptions covered will include lapses, premium persistency, credited rate function, expenses, and taxes; assumption governance manual.
 

9:30–9:45 a.m.
 

Break
 

9:45–11:15 a.m.
 

Reinsurance Overview: 
This session will include considerations by the ceding company and the reinsurer in projecting reinsurance cash flows, and will cover some current reinsurance issues pertaining to PBR that are being addressed by the NAIC. 
 

11:15 a.m.–12:30 p.m.
 

Pricing Under PBR: 
Consideration of pricing under PBR and work on Practice Note on PBR projections.
 

12:30–1:30 p.m.
 

Lunch
 

1:30–3:00 p.m.
 

Asset Overview
Includes considerations of choosing inforce assets for PBA testing, assets to be assumed for reinvestments and use of tables for spreads and default assumptions.
 

3:00–3:15 p.m.
 

Break
 

3:15–4:45 p.m. 
 

Reviewing PBR from a Company’s, Auditor’s and Regulatory Perspective:
What companies are typically doing to set up for PBR, and auditors would look for in a PBR review regarding methodologies used, governance controls, experience studies, what regulators have found. 
 

4:45–5:15 p.m.
 

Discussion Groups
(Beginner vs advanced vs regulator)

 


 

Wednesday, April 10, 2019.
 

7–8 a.m.
 

Breakfast
 

8–9:30 a.m.
 

Regulatory and Other Considerations
Will include regulatory overview, reporting, experience studies, pricing considerations, a sample report, Annual Statement changes, and considerations for year 2+. This session will include a mock regulatory review of a PBR submission.
 

9:30–10:30 a.m.
 

Practice Note, Sources of Information:
Info on revised VM-20 Practice Note; Common Practice of Examining Actuaries Involved in Statutory Financial Solvency Examinations; work on Practice Note on PBR projections.
 

10:30–10:45 a.m.
 

Break
 



10:45 a.m.–12:30 p.m.
 

VM-21 and Other Regulatory Updates: 
This session will have the regulators discuss what is happening on the regulatory front, including updates on the VM-21 Variable Annuity project as well as the NAIC PBR Review Group, further updates on VM-21, VM-31 and LTC. 
 

12:30 p.m.–1 p.m.
 

Questions & Answers
 

 

Times are subject to change.