This Week: May 8 - 12, 2017

Read the latest news from the Academy.

Recent Academy Activity, May 8–12, 2017

Issue Brief Looks at Risk Adjustment Implications of Health Policy Changes

The Risk Sharing Subcommittee published an issue brief Wednesday examining the risk adjustment program implemented under the Affordable Care Act (ACA) and the implications for the program under different potential changes to current health insurance market rules.

ACA risk adjustment shifts funds from insurers with relatively healthy enrollee populations to those with less healthy enrollees. The model and formulas used to determine those payments would need to be revised under various health policy proposals, including the American Health Care Act (AHCA) passed last week by the U.S. House of Representatives. Read the Academy’s news release.

CPC Reps Visit Capitol Hill to Meet With Senate Staff on Flood Insurance Legislation

Representatives from the Academy’s Casualty Practice Council (CPC), including CPC Vice President Rade Musulin and Senior Casualty Fellow Jim MacGinnitie, met Wednesday and Thursday with U.S. Senate staff members on Capitol Hill. They discussed the Academy’s recent flood insurance monograph and potential flood insurance legislation with staff of Subcommittee on Securities, Insurance, and Investment Chairman Dean Heller (R-Nev.), ranking minority member Mark Warner (D-Va.), and several other senators. The National Flood Insurance Program’s (NFIP) legal authority is scheduled to expire Sept. 30, and Congress is considering reauthorizing the program—which was established in 1968—as it has in the past.

Committee Releases Issue Brief on Women and Social Security

The Social Security Committee released an issue brief Friday that discusses differences in the factors affecting men and women and how those differences contribute to disparate beneļ¬ts under Social Security. The issue brief notes that while Social Security provides benefits on a gender-neutral basis, “gender-related differences in the American work culture mean that, in reality, Social Security provides different levels of retirement security for women and men.” The issue brief concludes by exploring various reform proposals and the potential impact they may have on women.

Public Employment Opportunity

The Missouri Department of Insurance, Financial Institutions & Professional Registration is seeking to fill an advanced-level actuarial position for a credentialed life and health actuary. The qualified candidate will become familiar with innovative products and current market trends related to the those practice areas, and will be joining the department in the implementation process of key solvency modernization initiatives including principle-based reserving, enterprise risk management reports, and own risk and solvency assessments. For details and to apply, visit the department’s website.

The Academy supports government employers who are seeking to hire qualified actuaries. See our Public Employment Opportunity Posting Policy for more information.

Watch the Video—Annual Meeting and Public Policy Forum Primer

Watch our new short video to see why you should attend this year’s Annual Meeting and Public Policy Forum, to be held Nov. 14–15 in Washington, D.C. The meeting will offer an in-depth look at today’s top public policy and professionalism issues. Register today for the best discounts; extra-early registration rates are available through June 20.

Professionalism Outreach

  • Actuarial Board for Counseling and Discipline (ABCD) Chairperson Rick Block gave a professionalism overview at the Southern California Casualty Actuarial Club’s meeting Wednesday in Pasadena. The presentation reviewed the ABCD’s function, roles, and 2016 activities, followed by a review of the Code of Professional Conduct and a discussion of case studies illustrating practical applications of professionalism standards and considerations. More than 80 club members attended.

  • Former Actuarial Standards Board Chairperson Al Beer delved into the question of “What Does It Mean for an Actuary to Act ‘Professionally’?” in a presentation to the Actuaries Club of Philadelphia (ACP) on Wednesday. Beer covered how the actuarial professional is defined within the U.S. professionalism infrastructure, including under the Code of Professional Conduct and in U.S. Qualification Standards. About 100 people attended, and ACP Secretary Art Lucker said he received many compliments from ACP members regarding Beer’s presentation.

Recently Released

  • The May HealthCheck covers this week’s risk adjustment issue brief, Senior Health Fellow Cori Uccello’s participation in a Capitol Hill forum following passage of the AHCA, the Health Practice Council’s issue brief on making the individual health insurance market more sustainable, and federal and state health regulatory and judicial updates.

Upcoming Events

  • Next Week—Actuaries Climate Index Webinar: The Academy will host a free webinar, “An Introduction to the Actuaries Climate Index,” next Thursday, May 18, from noon to 1:30 p.m. EDT. The Actuaries Climate Index (ACI)—jointly sponsored by the Academy, the Canadian Institute of Actuaries, the Casualty Actuarial Society, and the Society of Actuaries—is designed to provide actuaries, public policymakers, and the general public with objective data about changes in the frequency of extreme climate events over recent decades. The webinar will provide an overview of the ACI and include a discussion of its goals and future enhancements. Register today.

  • Registration Open—Professionalism Webinar on Actuary Communications: The Academy will host a professionalism webinar, “Actuary-to-Actuary Communications,” on Wednesday, June 28, from noon to 1:30 p.m. Presenters will discuss how the Code of Professional Conduct and other elements of the professionalism framework can help you conduct difficult, but necessary, conversations with other actuaries. Register today.

  • Just Announced—Global Health Webinar on Pandemic Risks: An Academy global health webinar will look at escalating factors for epidemic and pandemic risks, as well as the costs associated with responding to the risk in terms of infrastructure, technology, and lifestyle modifications. Presenters will discuss examples of the calculation and observation for different indices, including infrastructures for public health communication, institutional capacity, and economic factors. They will also share case studies on the United States, Canada, Israel, China, Singapore, and more. The webinar will be held on Tuesday, June 6, from 1 to 2:30 p.m. EDT. Register today.

  • Registration Ends Monday—PBR Boot Camp: Limited space remains for the Academy’s PBR Boot Camp, to be held May 22–24 in Orlando, Fla. Registration ends Monday, May 15—register now and plan to join your fellow actuaries for this popular seminar that will keep you ahead of the principle-based reserving curve.


  • An Alabama Circuit Court ruled that the state Workers’ Compensation Act is unconstitutional.

  • Subscribe to Member Alerts: Subscribers to the Academy’s alerts are notified by email when a new alert is posted in their area(s) of interest. The alerts are available in five areas of focus: casualty, health, life, pension, and cross-practice issues. Academy members may subscribe to any or all of them free of charge as a member benefit after signing in to the member section of the website.

Public Policy Activities

  • The Life Reserves Work Group submitted an amendment proposal form to the NAIC’s Life Actuarial Task Force regarding the VM-20 wording on modeling of policy loans and separate account assets.

  • The Pension Committee submitted a comment letter to the IRS and Treasury Department on the projection of benefits under cash balance plans with variable interest credits.

  • The Stop-Loss Work Group sent comments to the NAIC’s Capital Adequacy (E) Task Force concerning calibration of risk factors in the Stop-Loss Factors Report.

  • The Solvency Committee submitted comments to the International Association of Insurance Supervisors on the Revised Insurance Core Principles (ICPs) and ComFrame material integrated with ICPs’ public consultation package dated March 3.

In the News

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