This Week, Week ending August 5, 2011

Announcements

• Election update: Earlier this week members received an invitation to participate in the Academy's online election to select three regular directors [1] to the board of directors and vote on two proposed amendments to the Academy bylaws [2]. The balloting will remain open until Sept. 2.
  
  The bylaws amendments that would implement profession-wide changes to the discipline process are unique to each U.S.-based actuarial organization. If you are a member of another U.S.-based actuarial organization and wish to have a say on this question, you must vote on each organization's proposed bylaws amendments.
  
  The second set of bylaws amendments would shorten what is in effect a four-year term of presidential office by one year through the removal of the position of penultimate past president from the Academy board of directors.
  
  Also please note that all Academy members whose dues for the current year have been paid in full as of July 14, 2011, are eligible to vote in this election. Associate or fellow status in another actuarial organization does not affect an Academy member's right to vote in Academy elections.
  
  For more information, visit the Academy's Election Center [3].

• Golfers and actuaries interested in honoring the memory of Larry Gorski, the 2003 recipient of the Academy's Robert J. Myers Public Service Award, are invited to register for the Sept. 12 Insurance Regulator Educational Foundation & Hall of Fame annual golf fundraiser in Springfield, Ill. Gorski, the longtime chief life actuary for the Illinois Insurance Department and an Academy member from 1979 until his death in 2010, is the foundation's 2011 Hall of Fame honoree.
  
  Proceeds from the event will benefit a scholarship program that supports the annual 10-day instructional training for insurance regulators from all 50 states. The golf fundraiser will be held at the Panther Creek Golf Club in Springfield. For more information or to show your support, contact Janet Patrick, 217-789-1010 or jpatrick@illinoisinsurance.org [4].

Media Coverage

• Academy: We should have access to PBR study data [5]
  National Underwriter Life & Health, Aug. 3, 2011
  Academy President Mary Frances Miller's letter [6] to the National Association of Insurance Commissioners Life Actuarial Task Force, which corrected misstatements made about the Academy and the actuarial profession by an outside organization, was discussed.
• Pension cash-outs are coming [7]
  Financial Advisor Magazine, July 2011
  The Academy life and pension practice councils' May 2010 response [8] to a request for information from the departments of Labor and Treasury regarding lifetime income options for retirement plans was cited and linked. The Academy wrote that to achieve a specified level of retirement security, an individual would need to set aside 50 to 75 percent more money than if the individual participated in a risk-pooling arrangement such as an annuity.

News Releases

• Donald Fuerst [9] Named Senior Pension Fellow at the American Academy of Actuaries (Aug. 5, 2011)
• Capitol Hill Briefing on Pension Contributions Postponed [10] (Aug. 2, 2011)

Website: New Postings

• Donald Fuerst [9] is the Academy's new senior pension fellow and will serve as the chief policy liaison on pension, Social Security, and other retirement issues. Fuerst will promote the formulation of sound retirement policy by providing nonpartisan technical assistance to legislators and regulators.
• Academy President Mary Frances Miller has sent two letters to correct misstatements made about the Academy and the actuarial profession by outside organizations. In a letter [11] to the National Association of Insurance Commissioners Life Actuarial Task Force, Miller defined the Academy's work in representing the U.S. actuarial profession on public policy issues and outlined the Academy's policies and procedures that help to maintain the objectivity of its work. In a second letter [12] to the U.S. Treasury Department, Miller reinforced the value that actuaries could bring to the Federal Advisory Committee on Insurance and the actuarial profession's commitment to high professional standards.
• The Academy's Social Security Committee released an updated issue brief [13] on automatic adjustment mechanisms that could help address actuarial balance challenges facing Social Security.
• President Obama signed into law the Budget Control Act of 2011 [14] on Aug. 2, which increases the debt ceiling and reduces the federal deficit over the next 10 years. Log in [15] to read the full Academy alert.

Upcoming Events

• Learn more about principle-based approach (PBA) implementation challenges and how PBA will affect the valuation process at the Sept. 14 seminar: Preparing for Change under PBA for Life Products: Life Company Reserves and Capital [16]. Presenters at this jointly-sponsored event by the Academy and the Society of Actuaries will cover several "hot topics" and the specific implementation challenges relating to PBA for statutory reserves for life products. Don't miss out on gaining a deeper understanding of these key issues and the necessary changes needed to adapt in a PBA world.
• Qualify to issue actuarial opinions for the NAIC Life and A&H Annual Statement or the NAIC Health Annual Statement by attending the 2011 Life and Health Qualification Seminar [17] on Nov. 7-10. Presenters will discuss asset adequacy testing, statutory insurance accounting, valuation and nonforfeiture requirements, and more. Make plans to attend if you have not met the specific knowledge requirements set forth in the U.S. Qualification Standards to issue these opinions. This seminar also is ideal for experienced FSAs and career ASAs intending to change practice areas, or for those looking for an excellent source of continuing education. Attendees may earn up to 27.3 CE credits. Early bird registration ends Aug. 19. Seats are limited—register [17] today!
• Keep up-to-date on regulations and standards applicable in drafting loss reserve opinions by attending the Academy's 2011 P/C Effective Loss Reserve Opinion Seminar: Tools for the Appointed Actuary [18]. This 2-day seminar on Nov. 16 & 17 at the Hilton Baltimore (BWI) will cover topics such as accepting an opinion assignment, documentation, point estimates, and risk of material adverse deviation. Presenters also will discuss new guidance on the repeal of ASOP No. 9 (Documentation and Disclosure in Property and Casualty Insurance Ratemaking, Loss Reserving, and Valuations [19]), revised ASOP No. 36 (Statement of Actuarial Opinion Regarding Property/Casualty Loss and Loss Adjustment Expense Reserve [20]), and ASOP No. 43 (Unpaid Claim Estimates [21]). Attendees may earn up to 14.5 CE credits. Register today [18]!

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