This Week, Jan. 15-19, 2018

Read the latest news from the Academy.

Recent Academy Activity, Jan. 15–19, 2018

Academy-CIA Series Kicks Off With Introductory Webinar on Organizations’ Roles in U.S., Canada

The Academy and the Canadian Institute of Actuaries’ (CIA) jointly sponsored webinar series began with Wednesday’s webinar, “The Roles of National Actuarial Organizations in the U.S. and Canada.” The presenters—Academy Penultimate Past President Tom Wildsmith, Academy Senior Policy Analyst Claire Mickelson, and CIA President Sharon Giffen and Executive Director Michel Simard—discussed the two organizations’ unique roles in each of their countries. Slides and audio are available free to Academy members.

When the two organizations were founded more than 50 years ago, “there was a need recognized for something more—to professionalize the actuarial community in a way that it could be seen as a truly self-regulating profession,” Wildsmith said. Giffen added, “The Academy and the CIA are very similar organizations in terms of their approach and duty to the actuarial profession ... I look forward to continuing our educational series on professionalism over the course of this year.”

Actuaries Climate Index Remains High for Latest Quarter

Quarterly data for the Actuaries Climate Index (ACI) released Wednesday for spring 2017 reveal the five-year moving average of climate extremes across the United States and Canada remains near the high recorded in the previous quarter, winter 2016–17. The seasonal ACI value was 1.66, compared with 1.94 in the previous quarter, marking the seventh consecutive season with an elevated value of above 1.5. Read the Academy’s news release.

“Sea levels have overtaken high temperatures as the biggest single factor behind the record averages in climate extremes measured by the [ACI],” said Academy Senior Property and Casualty Fellow Kevin Ryan. “Sea level measurements in the Atlantic and Gulf Coast regions were particularly important in keeping the moving index value at its current high level.”

COPLFR Issues Exposure Draft of Retained Risk Practice Note

The Committee on Property and Liability Financial Reporting (COPLFR) released an exposure draft of a new practice note, Retained Property Casualty Insurance-Related Risk: Interaction of Actuarial Analysis and Accounting. The practice note defines ways that entities use to retain risk, often described in other literature as methods of financing the entity’s exposure to risk. Because the type of entity often determines the particular approach or applicable accounting treatment, the various types of entities and the associated variation in the retained risk characteristics are described. The common exposures that these various entities may retain also are described. Comments are due by March 30; read the Academy alert.

NAAC Meets in Mexico

Leaders of the actuarial associations that participate in the North American Actuarial Council (NAAC) met Jan. 12–13 in Puebla, Mexico, to discuss challenges the profession faces in their respective countries as well as their diverse approaches to actuarial education, emerging practice areas, and new technologies.

Federal Court Dismisses Lawsuit Against Academy in Discipline Case

The U.S. District Court in Washington, D.C., granted in entirety the Academy’s motion to dismiss a lawsuit filed by Timothy Sharpe. This is a significant victory upholding the validity of the profession’s disciplinary process. Read the decision here.

Applicability Guidelines Updated to Reflect New ASOPs

The Applicability Guidelines for Actuarial Standards of Practice have been updated to reflect ASOP Nos. 51, Assessment and Disclosure of Risk Associated with Measuring Pension Obligations and Determining Pension Plan Contributions, and 52, Principle-Based Reserves for Life Products under the NAIC Valuation Manual.

P/C Loss Reserve, Life and Health Valuation Law Manuals Available

  • The 2017 Property/Casualty Loss Reserve Law Manual is now available. The manual is updated annually in multiple formats and is designed to help appointed actuaries know the NAIC Annual Statement requirements for statements of actuarial opinion. Order today.

  • Be one of the first to have the 2018 Life and Health Valuation Law Manual. Available for delivery this month, the manual is designed to help appointed actuaries know the requirements of the NAIC model Standard Valuation Law and the Model Actuarial Opinion and Memorandum Regulation. The manual is available in online and CD-ROM versions, allowing you to order the format that best meets your needs. Order today.

Upcoming Events

  • Enrolled Actuaries Meeting—April 8–11, Washington, D.C.

  • Annual Meeting and Public Policy Forum—Nov. 1–2, Washington, D.C.

Public Policy Activities

  • The Financial Regulatory Task Force submitted comments to the U.S. Senate on S. 2155, the Economic Growth, Regulatory Relief, and Consumer Protection Act. “If Congress moves to establish [the Insurance Policy Advisory Committee on International Capital Standards and Other Insurance Issues], we strongly urge you to consider the impact of an absence of actuarial expertise on the work” of the committee, the letter states.

  • The Big Data Task Force submitted comments to the NAIC’s Big Data (EX) Working Group noting that ”the Academy can support regulators with their work concerning big data on a number of levels. We believe the incorporation of actuarial principles and techniques is critical in advancing and implementing the frameworks outlined in the current exposures.”

In the News

 

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