Principle-based Approach (PBA)

Modernization of the framework for determining life insurers' statutory required capital and reserves in the United States. Click here to know more about PBA.

Academy LVS submits comments on AG 38 Framework

The Academy Life Valuation Subcommittee submitted a comment letter to the NAIC Joint Working Group of the Life Insurance and Annuities (A) Committee and Financial Condition (E) Committee regarding their draft Framework on Actuarial Guideline 38.
(January 30, 2012)

VM-02 References to Mortality Tables APF

Tax WG and the Nonforfeiture Improvement WG's amendment proposal form to LATF regarding VM-02 references to mortality tables. (January 12, 2012)

VM-02 Transition Period APF

Tax WG and the Nonforfeiture Improvement WG's amendment proposal form to LATF regarding VM-02 transition period. (January 12, 2012)

Maximum Nonforfeiture Interest Rate APF

Tax WG and the Nonforfeiture Improvement WG's amendment proposal form to LATF regarding maximum nonforfeiture interest rate. (January 12, 2012)

Standard Nonforfeiture Law References to Mortality Tables APF

Tax WG and the Nonforfeiture Improvement WG's amendment proposal form to LATF regarding nonforfeiture references to mortality tables. (January 12, 2012)

VM-20 Transition Period APF

Tax WG and the Nonforfeiture Improvement WG's amendment proposal form to LATF VM-20 transition period, maximum nonforfeiture interest rate, nonforfeiture references to mortality tables, VM-02 references to mortality tables, and VM-02 transition period. (January 4, 2012)

Approaches to Setting the Discount Rate for Valuation of Insurance Contracts: A Discussion Paper

Tax Work Group discussion paper regarding tax implications for structuring new commissioners’ mortality tables to include the extra mortality risk of business not subject to full underwriting. (December 14, 2011)

Tax Implications of Proposals for Structuring Commissioners’ Mortality Tables to Include the Extra Mortality Risk of Business not Subject to Full Underwriting

Tax Work Group discussion paper to the Life Actuarial Task Force and the American Council of Life Insurers regarding tax implications for structuring new commissioners’ mortality tables to include the extra mortality risk of business not subject to full underwriting. (December 7, 2011)

Follow-up Comment to LATF with Suggested Revisions to VM-20

Tax Work Group, in conjunction with the Nonforfeiture Improvement Work Group, follow-up comment letter to the Life Actuarial Task Force with suggested revisions to VM-20. (October 12, 2011)

Letter to LATF on Proposed Language in VM-02

Tax Work Group in conjunction with the Nonforfeiture Improvement Work Group comment letter to the Life Actuarial Task Force regarding issues associated with proposed language in VM-02. (October 3, 2011)

Payout Annuity Team Report to LATF

Joint Academy/SOA Payout Annuity Table Team report regarding the 2012 Individual Annuity Reserving Table to the Life Actuarial Task Force of the NAIC. The team also included a presentation that was originally scheduled for the NAIC Summer Meeting in Philadelphia that was canceled. (September 28, 2011)

LRWG Amendment Proposal on VM-20 to NAIC

Life Reserves Work Group's amendment proposal form regarding the VM-20 to the NAIC's VM PBR Life Subgroup. (June 13, 2011)

FS/RM APF to Clarify Issues in VM-20 Impact Study

Financial Soundness/Risk Management Committee amendment proposal to the NAIC's VM PBR Life Subgroup. (May 18, 2011)

Application of C-3 Phase II and Actuarial Guideline XLIII

Variable Annuity Practice Note Work Group practice note on the Application of C-3 Phase II and Actuarial Guideline XLIII. (April 6, 2011)

Tax WG Report on Three-Year Statutory Transition Period

Tax Work Group report regarding Federal Tax Reserves and the Life PBR Elective Three-Year Statutory Transition Period for the NAIC's Life Actuarial Task Force. (March 1, 2011)

VUL Subgroup Deterministic Return Report to LHATF

Variable Universal Life Subgroup report to the NAIC VM PBR Life Subgroup regarding deterministic return paths in VM-20. (October 1, 2010)

Scenario and Cell Model Reduction

Modeling Efficiency Work Group practice note regarding scenario and cell model reduction. (September 22, 2010)

ARWG Report to LHATF on Statutory Valuation of Deposit Fund Contracts in Seattle

ARWG report to LHATF on statutory valuation of deposit fund contracts in Seattle. (August 1, 2010)

PBA 101 Slides

PBA 101 slides describing the history and basics of the principle-based approach to reserves and capital. (August 1, 2010)

Amendment Proposals to VM-20 on Reinvestment Spread Proposal

Amendment proposals to the VM-20 regarding consistent simplification, scenario reduction, the stochastic exclusion test and supplemental information on the reinvestment spread proposal. (July 1, 2010)