1994 – SOA – Problems and Solutions for Product Illustrations, Society of Actuaries – 28p

  • 1994 – SOA – Problems and Solutions for Product Illustrations, Society of Actuaries – 28p
  • BRADLEY E. BARKS (Chief Product Actuary for LIfeUSA Insurance Company: The subject we are going to talk about is life insurance and disclosure regulation, which the NAIC is working on currently. 
  • (p10 / 578)
  • MR. BARKS: This issue and the other comments about reality are both related to consumer expectations.
    • The vanishing premium is also related to policyholder expectations.
    • I would like to ask the panel, if we are trying to make sure that the illustration has a high likelihood of meeting policyholder expectations?
    • Is this a goal of this process?
  • Robert E. Wilcox – Chairman of the Life Disclosure Working Group (NAIC):
    • I think it is.
    • If we are going to have a group of consumers of our products who are satisfied with what they get, we have to meet their expectations.
    • Obviously, there are two adjustment points whereby that can be accomplished.
      • One is that you can change the outcome to match the expectations.
      • The other is to change the expectation to match the outcome.
  • (p16 / 584) 
  • MR. BARKS: I want to go back a little bit and give George a chance to respond to or add to our list of goals and objectives 
  • George Coleman (Prudential / NAIC Technical Resources Group – TRG)
    • What I do not like is “high likelihood of meeting policyholders’ expectations.”
      • I think when we are talking about that, we are really talking about moving to guarantees and with all the problems attendant thereon.
      • The 44% of the values and benefits paid by Prudential in 1993 were nonguaranteed elements.
      • That is an important aspect of our sales, if we are trying to meet expectations, then I think we have a major problem.
      • If we are selling on the basis that this is going to fulfill your expectations without the disclaimers that are necessary, then we have some major problems.

1991-1992 – SOA – Final Report* of the Task Force for Research on Life Insurance Sales Illustrations, Society of Actuaries – 142p

  • 1991-1992 – SOA – Final Report* of the Task Force for Research on Life Insurance Sales Illustrations, Society of Actuaries  —  [BonkNote]  —  142p
    • Appendix II – Illustration Examples
    • *Opinions expressed herein are those of the Task Force for Research on Life Insurance Sales illustrations and of the Committee for Research on Social Concerns. This report does not purport to represent the views of the Society of Actuaries or of its Board of Governors.
    • Judy A. Faucett (Chairperson),  Benjamin J. Bock,  Bruce E. Booker,  John W. Keller,  John R. Skar,  Linden N. Cole
  • John Montgomery [California] asked how companies would control brokers who were selling insurance.

1994-3, NAIC Proceedings

  • Bob Wright said the Society of Actuaries report referred to the fact that companies said they had no control over what agents did.
    • [Bonk: Bob Wright = Chair of the LDWG – Life Disclosure Working Group – (A) – NAIC  —  [BonkNote]]

1994-4, NAIC Proceedings

1991-1992 – SOA – Final Report* of the Task Force for Research on Life Insurance Sales Illustrations, Society of Actuaries  —  [BonkNote]  —  142p

  • (p145) – Regulations and requirements must change to remain appropriate and effective.
    • Evolving marketplace and economic conditions necessitate periodic updating of regulations, including rescinding requirements that are no longer helpful.
    • The regulations of the early 1980s did not anticipate the product features, payment options and anomalies of the succeeding decade.
    • As examples:
      • Illustrations of a vanishing premium for a fixed-premium product depend upon the nonguaranteed policy factors to support premium payments after the vanish year.
      • Should the accompanying guaranteed values be based on the illustrated premium outlay by the buyer or the payment of full premiums in all years?
  • (p161) – The United Kingdom and Australia have relatively competitive life insurance markets, with many similarities to the North American market.
  • As in our market, ledger illustrations have been employed for Type B comparative cost and performance evaluation.
    • Not surprisingly, these countries have also encountered problems with sales illustrations.  
  • (p172) – 4. Standard Assumptions
    • Three possible models have been described in this paper: the illustration of variable life and the illustration practices in the United Kingdom and Australia.
    • These models for standardization of assumptions help the buyer to understand that the illustrated performance varies with the underlying assumptions and is not guaranteed.
    • The Australian requirement that effects of inflation also be demonstrated for the term of the projection has considerable appeal to the Task Force.
    • CONCLUSION: We encourage the AAA and the CIA to consider pursuing this alternative with industry trade groups, professional organizations and regulatory bodies. 
  • The agent and prospect have the ability to choose almost any pattern of benefits and premiums.
  • No longer is the sale limited to one of several fixed plans of insurance from a ratebook.

1991-1992 – SOA – Final Report* of the Task Force for Research on Life Insurance Sales Illustrations, Society of Actuaries  —  [BonkNote]

2020 – SOA – Systemic Risk in China’s Insurance Industry

  • 2020 – SOA – Systemic Risk in China’s Insurance Industry, systemic-risk-china-insurance-english – Society of Actuaries  —  [BonkNote]  —  55p
  • (p9) – Therefore, based on the identification of systemic risk sources that the Geneva Association, IAIS and other scholars have given….
  • the author investigated the origin of systemic risk in China’s insurance market from a micro perspective and believes…..
  • that the main sources of systemic risk in China’s insurance market are:
    • credit guarantee, minimum guarantee income of insurance contract, asset and liability mismatch, and alternative investment. 
  • (p10) – At the same time, the policyholder may have a run, which will have impacts on the market, the government supervision behavior, the company’s reputation decline, and so forth.
  • The payments at expiration and the surrender value of life insurance industry reached 937.9 billion yuan in 2015 and rose to 1.2 trillion yuan in 2016.
  • In the surrender value, high-cash-value products accounted for 55%. China’s insurance industry is expected to face more than 1.5 trillion yuan of maturity payment and surrender value by 2018 (Huibaoxian, 2017).
  • Although a run on the insurance industry is rare, it cannot be ignored.
  • Policyholders’ run once occurred in smaller insurers and in a normal economic environment, although what consequences it would cause in an extreme economic environment remains unknown.
  • (p10) – Under the pressure of low interest rates in China, along with the regulation of government, China’s insurance companies will face a dilemma of both maturity payment and surrender value.
  • It is necessary to prevent a run event; otherwise, insurance companies’ liquidity will be significantly affected, which will lead to fracturing of company funds in a severe case or even a financial crisis.

2002 – SOA – Dropping Like a Rock: Dealing with Falling Interest Rates and Equity Markets Outside the United States and Canada

  • 2002 – SOA – Dropping Like a Rock: Dealing with Falling Interest Rates and Equity Markets Outside the United States and Canada, rsa02v28n160pd –  Society of Actuaries  — [BonkNote]  —  27p
  • (p5) – The whole industry of Asia can actually be placed into three segments.
    • The first segment includes the massive giants.
      • They built up a business over the last 30 or 40 years, and they’re huge.
      • They take up maybe 80 percent of the market.
    • Then there is the second segment, the second piece, which includes the foreign companies that went into the market about 10-15 years ago.
      • This segment is tiny, maybe five percent or 10 percent at the most for the market.
    • The last segment includes domestic players who joined in at the same time the markets opened up to foreign players.
      • This happened when local people felt that, with the opening of markets, they too should have a chance at the business. So these players were able to come in as well.
  • All of a sudden, markets were opened, allowing foreign companies to come in and allowing the domestic companies to put together the capital and come in as well.
    • But the problems revolved around not having sufficient human resources, the proper people, to support the management of insurance companies.
  • For example, in China, for all material purposes, there were no actuaries before 1995.
    • Today China has about 200 actuarial-related people.
    • Many of these people are in their early 30s and 20s.
    • Much of their work involves pricing, net premium plus loading-type of work.
    • They’re not really inside the management; they’re just mechanics doing the supporting work. They’re calculating the reserves and all that stuff.
    • But they have not really taken the next step to influence or be part of the management.
  • (p6) – Some History on the Culture and Business
    • A high proportion of the business has been savings-related.
      • Many Asians love to buy savings products.
      • Many don’t like to buy anything that’s doesn’t have a return.
      • Many who give you money for a product want something back in some form.
    • They haven’t been interested in term insurance products.
      • Many have wanted that money back, saying, “What do you mean? With 10-year term insurance, after ten years, after all the money that I’ve given you, I get nothing?”
      • They don’t like that kind of product.
      • So it has been very difficult.
    • Many of the companies were selling anticipated endowments or heavy-savings types of products.
      • So the interest risk was and is quite high.
  • (p23) – From the Floor – And we are talking about all these management techniques in managing the insurance company.
    • But in Asia, obviously, you’re guided by completely different standards, mainly because most companies want to gain market share.
      • That’s all they care about-market share, sales. We want to be No. 1. Who cares about reserve adequacy?
      • If that’s not enough, we’ll just cut the bonus some more and the policyholders will get even less. That seems to be the strategy.
    • It’s shocking to see quite a different practice on the other side of the world, compared to what we do here in the United States or Europe.

1940s – SOA – Society of Actuaries

  • 1947 – SOA / TASA – Electronic Machinery for Handling Information, and Its Uses in Insurance, by Edmund C. Berkeley, Transactions of the Actuarial Society of America 48 (1947): 36-52 – <WishList>
    • 45 William P. Barber, Jr., Edward H. Wells, and Edward A. Rieder, Discussion of “Electronic Machinery for Handling Information,” Berkeley Papers, box 68.
  • 1949 – SOA – Report of the Committee on Mortality Under Ordinary Insurances and Annuities, tsa49v1n124 – Society of Actuaries – 12p
  • 1949 – SOA – Term Conversion Option, Elgin G. Fassel, tsa49v1n17 – Society of Actuaries – 42p
  • 1949 – SOA – Some Actuarial Observations on Agency Management Problems, tsa49v1n16 – by Charles F. B. Richardson, Society of Actuaries – 46p
  • <WishList>
  • Edward A. Rieder (TASA XLVIII, 1947, p. 283)
  • Edward A. Rieder, “A Method For Grading. Commission Scales By Plan And Age At Issue,”. Record of the American Institute of Actuaries,. Vol. XXIX (1943)
    • 45 William P. Barber, Jr., Edward H. Wells, and Edward A. Rieder, Discussion of “Electronic Machinery for Handling Information,” Berkeley Papers, box 68.
  • Edmund C. Berkeley, “Electronic Machinery for Handling Information, and Its Uses in Insurance,” Transactions of the Actuarial Society of America 48 (1947): 36-52.
  • 45 William P. Barber, Jr., Edward H. Wells, and Edward A. Rieder, Discussion of “Electronic Machinery for Handling Information,” Berkeley Papers, box 68.

SOA – Congress

  • James Pilgrim: My question is both to Walt and Fred.
    • When you talk about universal life being a way to sell lower cost coverage by virtue of the policyhoIder’s paying the minimum premium to keep the policy in force, aren’t we going to find down the road, and particularly for companies whose cost of insurance is a select and ultimate cost of insurance as opposed to an aggregate cost, that we might be experiencing some of the same things with universal life products that we have experienced on term insurance, that we really end up with a select and ultimate term product with a minimum premium?
    • Have we installed systems to measure that, particularly relative to premium, and what are we going to do when we get there?
  • Walter Miller: I hope that your question gets printed in bold-faced capitals when this session finally comes out in the Record.
    • It is a very important point, and having been one of those who qualified for the naivete of the year award, already, I will just keep on that track and express the hope that most of us who are involved in pricing and repricing and designing universal life have learned our lesson about what happens when you get into the select and ultimate game for term pricing.
  • Fred Jonske: I would concur with Walt.
    • I hope that you might want to write your congressman or congresswoman and have that added to both the Democratic and Republican platforms at the next convention.
    • I hope we shy away from the select and ultimate end of universal life; we certainly are not advocating that, at this point in time.

1984 – SOA – Individual Term Portfolio Management, rsa84v10n4a5 – Society of Actuaries – 22p

2020s – SOA – Society of Actuaries

  • 2020 – SOA / PWC – Education Committee Of The Society Of Actuaries Individual Life And Annuities Life Financial Management Study Note Insurance Contracts, /pwc-insurance-contracts – Society of Actuaries – 140p
  • 2020 – SOA – Issues with IUL Illustration Regulation and Possible Solutions, pd-2020-10-virtual-annual-session-6d – Society of Actuaries – 38p
  • 2020 – SOA – Principle-Based Reserves Simplified Methods, 2020-simplified-methods – Society of Actuaries – 64p
  • 2020 – SOA – Systemic Risk in China’s Insurance Industry, systemic-risk-china-insurance-english – Society of Actuaries  —  [BonkNote]  —  55p
  • 2020 – SOA – Validating Algorithmic Underwriting Models – Expert Panel Report,validating-algorithmic-models – Society of Actuaries – 13p
  • 2021 03 – SOA – Assumption Governance and Setting Assumptions in Illustration Actuary Testing, Small Talk, By Mark Rowley,  stn-2021-03-rowley – Society of Actuaries – [link]
  • 2021 – SOA – Emerging Issues in Underwriting – Survey Report, emerging-issues-underwriting-survey-report – Society of Actuaries – 57p
  • 2021 – SOA – Pension Risk Transfer: Evaluating Impact and Barriers for De-Risking Strategies, 2021-pension-risk-transfer – Society of Actuaries – 64p
  • 2021 – SOA – Recent Change to IRC § 7702 Interest Rates and Impact on Life Insurance Products, pm-2021-02-kwassman – Society of Actuaries – [link]
  • 2021 – SOA – Taking Life Insurance Customer Engagement to the Next Level, customer-engagement – Society of Actuaries – 17p
  • 2022 – SOA – Mechanics of Dividends, by Dale Hagstrom, mechanics-dividends – Society of Actuaries – 28p
  • 2022 – SOA – Overview of Nonguaranteed Elements (NGEs), overview-nges – Society of Actuaries – 22p
  • 2023 – SOA – Rating Agency Perspectives on Insurance Company Capital, rating-agency-perspectives – Society of Actuaries – 28p
  • 2023 01 – SOA – Primer on Retirement Income Strategy Design and Evaluation, ret-income-strat-de – Society of Actuaries – 104p
  • 2023 04 – SOA – What Can Insurers and Pension Funds Learn from Bank Failures – Expert Panel Discussion, learn-from-bank-failures – Society of Actuaries – 11p
  • 2025 – SOA – Study Note – The General Insurance Regulatory Environment, 2025-11-gi-201-study-note-gi-regulatory – 
  • 2021 0804 – SOA to NAIC – RE: 2022 Generally Recognized Expense Table (GRET) – SOA Analysis, Society of Actuaries – 5p

SOA – Presidents

  • SOA – Past Presidents – [link-soa]
  • Address of the President
  • 1964 – SOA – Andrew C. Webster – Address of the President – 7p – tsa64v16pt1n4616
    • The President has the privilege of addressing the members on subjects of his own choosing.
    • I would like to report on major items in the year that has passed and to muse upon such matters as have interested me and seem to me to have some significance for the members of the Society
  • 1970 – SOA – Ernest J. Moorhead – Address of the President: Exception Bade Them Speak, Society of Actuaries – 8p – tsa70v22pt1n6413

  • 1974 – SOA – Edward A. Lew – Address of the President: Reordering Actuarial Priorities, Society of Actuaries – 12p – tsa74v26pt1n7614

  • 1975 – SOA – Charles L. Trowbridge – Address of the President: Actuaries and Academia, Society of Actuaries – 10p – tsa75v272
  • 1981 – SOA – Robin B. Leckie – Address of the President: Actuarial Soundness – 10p  – tsa81v333
  • 1986 – SOA – Richard S. Robertson – Address of the President: The Sad State of Actuarial Education in the United States, Society of Actuaries – 6p  – tsa86v383
  • 1989 – SOA – Ian M. Rolland
  • 1991 – SOA – Daphne D. Bartlett – Address of the President: The Art of Actuarial Science, Society of Actuaries – 6p  – tsa91v433
  • 1992 – SOA – ADDRESS OF THE PRESIDENT, DONALD R. SONDERGELD – 1992v44x
  • 1993 – SOA – Walter S. Rugland – Address of the President: Challenging the Beaten Path, Society of Actuaries – 10p – tsa93v453
    • As an organization, a serious weakness has been our corporate continuity and memory.
      • Better staff support will provide continuity and allow committees to build on the work of prior committees.
      • This expanded view of staff accountability and support continuity will make a difference for the society of the future.
  • 1995 – SOA – Sam Gutterman – Address of the President:  The Redesign of the Actuary, Society of Actuaries – 8p – tsr952
  • Jennifer L. Gillespie, 2021-22
    Roy Goldman, 2020-21
    Andrew D. Rallis, 2019-20
    Jim Glickman, 2018-19
    Mike Lombardi, 2017-18
    Jerry Brown, 2016-17
    Craig Reynolds, 2015-16
    Errol Cramer, 2014-15
    Mark J. Freedman, 2013-14
    Tonya B. Manning, 2012-13
    Bradley M. Smith, 2011-12
    Donald J. Segal, 2010-11
    S. Michael McLaughlin, 2009-10
    Cecil D. Bykerk, 2008-09
    Bruce D. Schobel, 2007-08
    Edward L. Robbins, 2006-07
    Robert M. Beuerlein, 2005-06
    Stephen G. Kellison, 2004-05
    Neil A. Parmenter, 2003-04
    Harry H. Panjer, 2002-03
    W. James MacGinnitie, 2001-02
    Robert L. Brown, 2000-01
    A. Norman Crowder, III, 1999-2000
    Howard L. Bolnick, 1998-99
    Anna M. Rappaport, 1997-98
    David M. Holland, 1996-97
    Sam Gutterman, 1995-96
    Barnet N. Berin, 1994-95
    R. Stephen Radcliffe, 1993-94
    Walter S. Rugland, 1992-93
    Donald R. Sondergeld, 1991-92
    Daphne D. Bartlett, 1990-91
    Allan D. Affleck, 1989-90
    Ian M. Rolland, 1988-89
    Gary Corbett, 1987-88
    Harold G. Ingraham, Jr., 1986-87
    Richard S. Robertson, 1985-86
    Preston C. Bassett, 1984-85
    Dwight K. Bartlett, III, 1983-84
    Barbara J. Lautzenheiser, 1982-83
    Robert H. Hoskins, 1981-82
    Robin B. Leckie, 1980-81
    Julius Vogel, 1979-80
    E. Paul Barnhart, 1978-79
    William A. Halvorson, 1977-78
    Robert T. Jackson, 1976-77
    John M. Bragg, 1975-76
    Charles L. Trowbridge, 1974-75
    Edward A. Lew, 1973-74
    Thomas P. Bowles, Jr., 1972-73
    Robert J. Myers, 1971-72
    Edwin B. Lancaster, 1970-71
    Ernest J. Moorhead, 1969-70
    Wendall A. Milliman, 1968-69
    Morton D. Miller, 1967-68
    Harold R. Lawson, 1966-67
    Gilbert W. Fitzhugh, 1965-66
    Victor E. Henningsen, 1964-65
    Andrews C. Webster, 1963-64
    John Haynes Miller, 1962-63
    Wilmer A. Jenkins, 1961-62
    Dennis N. Warters, 1960-61
    James E. Hoskins, 1959-60
    Pearce Shepherd, 1958-59
    Henry F. Rood, 1957-58
    Malvin E. Davis, 1956-57
    William M. Anderson, 1955-56
    Walter Klem, 1954-55
    Richard C. Guest, 1953-54
    John R. Larus, 1952-53
    Benjamin T. Holmes, 1951-52
    Valentine Howell, 1950-51
    Edmund M. McConney, 1949-50

SOA – Society of Actuaries – Index

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1950s – SOA – Society of Actuaries

  • 1950 – SOA – Discussion – Actuarial Note: The Valuation of Self-Insured Retirement Plans, tsa50v2n442 – Society of Actuaries – 7p
  • 1950 – SOA – Extra Premiums Based On The Net Amount At Risk, tsa50v2n444 – Society of Actuaries – 3p
  • 1950 – SOA – General, tsa50v2n327 – Society of Actuaries – 5p
  • 1950 – SOA – National Service Life Insurance, tsa50v2n319 – Society of Actuaries – 19p
  • 1951 – SOA – General Session, tsa51v3n510 – Society of Actuaries – 15p
  • 1951 – SOA – Lapse Rates, by Charles F.B. Richardson and John M. Hartwell, tsa51v3n733 – Society of Actuaries – 59p
  • 1952 – SOA – The Trend of Life Insurance Company Expenses, tsa52v4n1041 – Society of Actuaries – 19p
  • 1953 – SOA – Agency Problems–Resulting From Special Policies, tsa53v5n1223 – Society of Actuaries – 3p
  • 1953 – SOA – General, tsa53v5n1219 – Society of Actuaries – 11p
  • 1953 – SOA – New Recording Means and Computing Devices, tsa53v5n1222 – Society of Actuaries – 19p
  • 1954 – SOA – Digest of Panel Discussion on the Implications to Insurance of the 1954 Internal Revenue Code, /tsa54v6n1646 – Society of Actuaries – 12p
  • 1955 – SOA – Analysis of Approximate Valuation Methods, tsa55v7n1932 – Society of Actuaries – 16p
  • 1955 – SOA – Funding of Group Life Insurance, Charles L. Trowbridge, tsa55v7n1818 – Society of Actuaries – 16p
  • 1955 – SOA – Pension Plans–Provisions for Termination of Plan, tsa55v7n1717 – Society of Actuaries – 45p
  • 1955 – SOA – Term Versus Whole Life – Actuarial Note, tsa55v7n1933 – Society of Actuaries – 9p
  • 1956 – SOA – A New Annuity Mortality Table and a Graded Rate System for the Life Income Settlement Options, By William C. Mccarter, tsa56v8n2117 – Society of Actuaries – 39p
  • 1956 – SOA – A New Look At The New York Expense Limitation Law, by Allen L. Mayerson, tsa56v8n2232 – Society of Actuaries – 57p
    • It has been the subject of two papers in the Transactions of the Actuarial Society of America.
      • Mr. M. A. Linton, in “Section 97–New York Law, Revision of 1929,” TASA XXX, 109, discussed the amendments to the law which were made in 1929 – <WishList>
      • Mr. Daniel J. Lyons discussed the 1948 amendments to section 213, and some of the weaknesses in the law as it then stood, in “Expense Limitations in Section 213 of the New York Insurance Law,” TASA XLIX, 27 – <WishList>
  • 1956 – SOA – Premiums And Reserves In Multiple Decrement Theory, by William S. Bicknella and Cecil J. Nesbitt, tsa56v8n2234 – Society of Actuaries – 56p
  • 1957 – SOA – General Session, tsa57v9n2423 – Society of Actuaries – 10p
  • 1957 – SOA – Life Insurance Policies, Premiums and Dividends, /tsa57v9n235 – Society of Actuaries – 9p
  • 1957 – SOA – Operations Research, tsa57v9n238 – Society of Actuaries – 5p

  • 1957 – SOA – The Effect Of Varying Interest Rates, Charles H. Connolly, tsa57v9n2414 – Society of Actuaries – 5p

  • 1958 – SOA – Individual Ordinary Insurance, tsa58v10n2713 – Society of Actuaries – 43p
  • 1959 – SOA – Discussion of Subjects of Special Interest: Underwriting, tsa59v11n30ab50 – Society of Actuaries – 8p 
  • 1959 – SOA – Gain and Loss Analysis for Pension Fund Valuations, tsa59v11n3174 – Society of Actuaries – 61p
  • 1959 – SOA – Gross Premium Calculations and Profit Measurement for NonParticipating Insurance, by James C.H. Anderson, tsa59v11n30ab42 – Society of Actuaries – 64p
  • 1959 – SOA – Insufficient Premiums, tsa59v11n29ab8 – Society of Actuaries – 12p
  • 1959 – SOA – Interpolation Commutation Columns, tsa59v11n30ab40 – Society of Actuaries – 6p
  • 1959 – SOA – Ordinary Insurance and Annuities: Withdrawal Rates, tsa59v11n30ab49 – Society of Actuaries – 5p
  • 1959 – SOA – Report on the Regulation of Minimum Deposit Plan, tsa59v11n3197 – Society of Actuaries – 3p
  • 1959 – SOA – Some Observations on Ordinary Dividends, Robert T. Jackson, tsa59v11n3178 – Society of Actuaries – 48p
  • 1959 – SOA – The Changing Pattern of Life Insurance Investments in the United States, tsa59v11n29ab25 – Society of Actuaries – 34p
  • Relationships among premiums and reserves for life insurance are familiar to actuaries.

1956 – SOA – Premiums And Reserves In Multiple Decrement Theory, by William S. Bicknella and Cecil J. Nesbitt, tsa56v8n2234 -Society of Actuaries – 56p