• Premium Considerations
  • The non-guaranteed premium concept can be utilized for all forms of nonparticipating insurance, including both term and permanent policies.
  • In setting insurance premiums, the actuary can use pricing assumptions that are as realistic as possible.
  • The actuary is not locked into "50 years" of insufficient premiums if his or her estimates of future assumptions prove to be too optimistic.

--  Richard A. Swift - [Bonk: Aetna-?]

1980 - SOA - Nonparticipating Life Products with Nonguaranteed Premiums (rsa80v6n22), Society of Actuaries - 18p