Academy Statements on Principle-Based Reserving


The Academy has assembled materials to assist actuaries and regulators as the U.S. moves into the implementation phase of PBR for life insurance. Click here to access these materials. Public statements made by the Academy related to PBR are below.

Work Group Update to NAIC on Academy PBR Governance
PBA Governance Work Group update to NAIC on Academy involvement with PBR.  (March 23, 2018)
Subgroup Presentation on Academy PBR Efforts
PBR Governance Subgroup update to the NAIC Life Actuarial (A) Task Force on the Academy’s efforts on PBR implementation.
(December 1, 2017)
Work Group Comments on Exposed VM-31 Amendment Proposal Form.
PBR Governance Work Group’s VM-31 Review Subgroup Comment Letter to the NAIC’s Life Actuarial (A) Task Force on the exposed VM-31 Amendment Proposal Form.
(September 12, 2017)
Work Group Comment Letter to NAIC regarding proposed changes to the Financial Condition Examiners Handbook
Comments from the Principle-Based Reserving Procedures Work Group to the NAIC regarding the exposure of proposed changes to the Financial Condition Examiners Handbook. (August 15, 2017)
Work Group Presentation on Non-Variable Annuity PBR
Annuity Reserves Work Group presentation on its work related to issues that need to be modified for non-variable annuities to the Life Actuarial Task Force. (August 5, 2017)
Subgroup Comments on Proposed Amendment to VM-31
VM-31 Subgroup comments to the NAIC's Life Actuarial Task Force (LATF) on an amendment to eliminate the summary of methods and assumptions that covers multiple product groups in the executive summary.  (July 10, 2017)
Work Group Comments to ASB on Principle-Based Reserve ASOP Exposure Draft
PBR Governance Work Group comments to the Actuarial Standards Board (ASB) on the exposure draft for a new ASOP, Principle-Based Reserves for Life Products. (May 31, 2017)
Life Principle-Based Reserves Under VM-20
Life Principle-Based Approach Practice Note Work Group practice note to assist actuaries with the implementation of the principle-based life reserve valuation approach adopted by the NAIC as detailed in the Requirements for Principle-Based Reserves for Life Products—VM-20. (May 18, 2017)
Work Group APF on VM-20 Language on Policy Loans and Separate Account Assets
Life Reserves Work Group amendment proposal form to the National Association of Insurance Commissioners Life Actuarial Task Force regarding the VM-20 wording on modeling of policy loans and separate account assets. (May 12, 2017)
Work Group Comments on Exposed APF for VM-20 Definitions
Life Reserves Work Group comments on the National Association of Insurance Commissioners' (NAIC) Life Actuarial Task Force exposed amendment proposal form related to additional definitions under VM-20. (May 2, 2017)
Work Group Comments on Exposed APF for Section 2G in VM-20
Life Reserves Work Group comments on the National Association of Insurance Commissioners' (NAIC) Life Actuarial Task Force exposed amendment proposal form related to VM-20 Section 2G on model segmentation and the proposed alternative guidance note.
(May 2, 2017)
Model Governance Practice Note
Principle-Based Reserve (PBR) Model Governance Practice Note Work Group practice note, Model Governance, providing additional information for practicing life actuaries seeking to better understand models, model risks, model governance, and related issues, as these actuaries implement PBR.
(April 20, 2017)
Subgroup Releases Model Governance Checklist
The Principle-Based Reserves Checklist Subgroup of the Model Governance Work Group released a model governance checklist, which is offered as a resource for practicing life actuaries involved in actuarial model governance. (December 1, 2016)
Work Group Comments on PBR in Issue Paper No. 15X
Tax Work Group comments to the NAIC's Statutory Accounting Principles (E) Working Group in response to the Issue Paper No. 15X concerning the implementation of principle-based reserving (PBR). (October 6, 2016)
Work Group Comments to NAIC on Non-Jumbo and Jumbo Sample Calculations
SVL Interest Rate Modernization Work Group comments to the NAIC's VM-22 (A) Subgroup on Non-Jumbo and Jumbo Sample Calculations on valuation interest rates. (September 21, 2016)
ARWG Non-Variable Annuity PBR Update to LATF
John Miller, chairperson of the Annuity Reserves Work Group, provided a non-variable annuity PBR update to LATF’s VM-22 Subgroup. (August 24, 2016)
ARWG Non-Variable Annuity PBR Update to LATF
Annuity Reserves Work Group (ARWG) non-variable annuity PBR update to the Life Actuarial Task Force’s VM-22 Subgroup at the NAIC Fall 2015 National Meeting. (November 16, 2015)
Comments to PBRITF on ‘Substantially Similar’ Exposure Draft
Life Practice Council comments to the NAIC’s Principle-Based Reserving Implementation (EX) Task Force on its “Substantially Similar Terms and Provisions” to Determine the Valuation Manual Operative Date exposure draft. (September 17, 2015)
Amendment Proposals on New CSO Tables in Valuation Manual
Joint American Academy of Actuaries Life Experience Committee and Society of Actuaries Preferred Mortality Oversight Group amendment proposals to the Life Actuarial Task Force on VM-02 Section 5A, VM-20 Sections 3 and 6, VM-M Section 1.H, and VM-A to the Valuation Manual regarding adoption of new CSO tables. (July 23, 2015)
Work Group Report on RSM Uses for Annuity Reserves
Annuity Reserves Work Group Report to the NAIC's VM-22 (A) Subgroup on the uses of the representative scenarios method (RSM) for calculating annuity reserves. (June 23, 2015)