Non-Participating Policies

Non-Participating Policies

• 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