Inside the Academy

December 2008

  • NAIC meeting draws Academy input
  • Board member Bruning receives special NAIC award
  • Natural catastrophe modeling explained in issue brief
  • Academy issue brief dissects individual market
  • CUSP statement on ASB, ABCD
  • New annual law manuals available for pre-order
  • Contingencies looks at Social Security reform
  • Check out the December Update
  • Read the winter Enrolled Actuaries Report
  • December Qualification Standards FAQ
  • Selected events
  • Let us hear from you
 US Capitol

NAIC meeting draws Academy input

Academy volunteers were active at the National Association of Insurance Commissioners (NAIC) winter meeting Dec. 5-8 in Dallas. Groups from the Life, Health, and Casualty practice councils submitted a number of reports and gave several presentations to NAIC working groups and task forces.

Highlights included a casualty report on the use of catastrophe modeling in ratemaking, a health progress report on a principle-based model the Academy is developing for the NAIC's work on long-term care reserving, and a presentation from the life Economic Scenario Work Group updating its work on an interest rate scenario generator.

Academy board member honored

The National Association of Insurance Commissioners honored Academy board member Larry Bruning with the Robert Dineen Award in recognition of outstanding achievement in insurance regulation. The annual award is the highest individual honor bestowed by the NAIC.

Insurance ratemaking for catastrophic events

In a new issue brief by the Natural Catastrophe Subcommittee, the Academy offers insight into some of the issues that should be considered when pricing insurance products that provide coverage for catastrophic events.

Individual medical insurance market explained

In an issue brief by the Individual Medical Market Task Force, the Academy provides policymakers with a clear understanding of how the current individual market works, the ease or difficulty a person may have acquiring coverage, and the cost implications once covered.

CUSP issues statement on ASB, ABCD

The Council of U.S. Presidents adopted a statement at its Oct. 5 meeting in Scottsdale, Ariz., clarifying the accountability and independence of the Actuarial Standards Board and the Actuarial Board for Counseling and Discipline.

Order the new Academy law manuals

The latest editions of the Life & Health Valuation Law Manual and P/C Loss Reserve Law Manual are coming soon, and you can order them now.

Read Contingencies online

Highlights of the November/December Contingencies include articles by four actuaries who were asked to redesign Social Security from scratch, knowing what they know today.

Looking ahead to the January/February issue: articles on affordable risk-free alternatives to adjustable rate mortgages and consumer considerations with pay-as-you-drive auto insurance.

Catch the December Actuarial Update online

Among the highlights of this month's issue of the Update:

  • Coverage of the Academy's annual meeting
  • Congressional testimony on the financial crisis
  • Profiles of Academy award winners
  • NAIC RBC trend test developments

Read the winter Enrolled Actuaries Report

Among the highlights of this issue of the EAR:

  • EAR prepares to go electronic
  • Public plans dialogue on disclosure
  • Pension fellow frames mark-to-market issues
  • Updated IRS numbers for 2009
  • Remembering Edward Burrows

December FAQ

(Part of a series of frequently asked questions about the Qualification Standards)

Q. How do the Qualification Standards affect enrolled actuaries?

A. There is an exemption for enrolled actuaries who issue statements of actuarial opinion (SAOs) related to retirement plans to which ERISA applies. This broad exemption is temporary. Beginning in 2011 (after the next three-year Joint Board cycle), the exemption is limited to the Form 5500 Schedule B certification and other ERISA forms. Enrolled actuaries who issue SAOs other than those exempted must satisfy the continuing education requirements of the revised Qualification Standards.

Selected events

  • Jan. 14 Audiocast. New Pension Regulations. The Academy, CCA presentation includes a general overview of new regulations that have been released in the past few months and how they influence your work product.
  • Feb. 13 Audiocast. PPA-A Look Back (for Large Plans). A review over the past year to see what's happened in 2008 and to explain how pension actuaries' work is changing. The audiocast is focused on large-plan issues.
  • March 29-April 1 in Washington. 2009 Enrolled Actuaries Meeting. The 34th EA Meeting, jointly-sponsored by the Academy and the CCA, features sessions in several formats that cover a wide range of issues relevant to enrolled actuaries and other pension professionals.

Let us hear from you

If you have suggestions, questions, or criticism about Inside the Academy, please contact Tim Dougherty (editor@actuary.org, 202-223-8196). We appreciate your feedback.