This Week, October 21, 2011

Media Coverage

• Despite alleged White House objections, LTC program quashed [1]
  LifeHealthPro.com/National Underwriter Life & Health, Oct. 18, 2011
  Steve Schoonveld, the co-chairperson of the Joint American Academy of Actuaries/Society of Actuaries CLASS Act Task Force was quoted from an Academy statement [2] and his July 2011 presentation [3] during the National Conference of Insurance Legislators summer meeting.
• Major blow to health care law? [4]
  FOX News Channel’s “Special Report with Bret Baier,” Oct. 17, 2011
  The Academy was mentioned by an on-air guest for its 2009 letter [5] to Congress that included an actuarial analysis of the Community Living Assistance Services and Supports (CLASS) Act. The analysis was conducted by a joint American Academy of Actuaries/Society of Actuaries work group. Video available.

News Releases

• American Academy of Actuaries Issues Discipline Notice [6] (Oct. 19, 2011)
• Actuaries Agree With HHS Concerns on CLASS Program [2] (Oct. 14, 2011)

Website: New Postings

• Click here [7] to watch the 4-part video series from the Academy’s jointly sponsored Oct. 11 Capitol Hill briefing [8] with the Society of Actuaries. The briefing outlined new research findings from the actuarial profession that illustrate a “rising tide” of pension funding challenges facing the private defined benefit system. Academy Vice President Ethan Kra, Academy Senior Pension Fellow Don Fuerst, SOA Vice President Tom Terry, and SOA Research Actuary Joe Silvestri discussed important implications for plan sponsors, beneficiaries, and policymakers.
• The Academy released a statement [9] in response to a new report from the Department of Health and Human Services (HHS) regarding the Community Living Assistance Services and Supports (CLASS) Act.
• The Tax Work Group, in conjunction with the Nonforfeiture Improvement Work Group, issued a follow up comment [10] letter to the Life Actuarial Task Force with suggested revisions to VM-02.
• The Casualty Practice Council submitted comments [11] to the NAIC’s Casualty Actuarial & Statistical Task Force on its proposed 2012 Actuarial Opinion Instructions.
• The Pension Practice Council submitted comments [12] to the Governmental Accounting Standards Board (GASB) in response to two exposure drafts on pension accounting and financial reporting by employers.
• The Pension Committee updated [13] the October 2009 practice note, Selecting and Documenting Mortality Assumptions for Pensions to reflect changes to ASOP No. 35, Selection of Demographic and Other Noneconomic Assumptions for Measuring Pension Obligations that went into effect in June 2011.
• Member Health Insurance Issues alert: The Obama Administration officially abandoned the Community Living Assistance Services and Supports (CLASS) Act, a long term care insurance program enacted as part of the Affordable Care Act (ACA). Secretary of Health and Human Services Kathleen Sebelius stated in a letter [14] to Congress on October 14 that there was no way to ensure the financial viability of the program. Log in [15] to read the full alert.

Upcoming Events

• Save the date: Nov. 22 for the Post-NAIC Update/PBA webinar. The Academy’s Life Practice Council will present a webinar on Nov. 22 to review the NAIC Fall 2011 National Meeting and progress on implementing the Principle-based Approach (PBA) to reserving. This 90-minute webinar also will include updates regarding the VM-20 impact study and NAIC developments on the Own Risk Solvency Assessment (ORSA). Stay tuned for registration details!

Recently Released Publications

• The October Actuarial Update [16] is available online. Read about the release of a model International Standard of Actuarial Practice exposure draft and the Academy’s ever more important work advancing the U.S. profession’s interests in the international arena. Other highlights include a look at new research findings on private pension plans presented at a Capitol Hill briefing and parting thoughts from the Academy’s outgoing vice presidents.

News from the Actuarial Standards Board (ASB)

• The October ASB Boxscore [17] is available online. This issue includes news items on the adoption of ASOP No. 20, Discounting of Property/Casualty Unpaid Claim Estimates, approval of ASOP No. 38, Using Models Outside the Actuary’s Area of Expertise (Property and Casualty) as an exposure draft, and the approval of two Life committee ASOP proposals, plus more!

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