Committees & Activities

Life Actuarial (A) Task Force
Life Insurance and Annuities (A) Committee

Aggregate Margin (A) Subgroup
C-3 Phase II/AG 43 (E/A) Subgroup
Contingent Deferred Annuity (A) Subgroup
Experience Reporting (A) Subgroup
Index-Linked Variable Annuity (A) Subgroup
VM–22 (A) Subgroup

Mission

The mission of the Life Actuarial (A) Task Force is to identify, investigate and develop solutions to actuarial problems in the life insurance industry

2015 Charges

Ongoing Maintenance of NAIC Programs, Products and Services:

The Life Actuarial (A) Task Force will:

  • Address charges to the Life Actuarial (A) Task Force as provided in the Principle-Based Reserving (PBR) Implementation Plan adopted by the Principle-Based Reserving Implementation (EX) Task Force. These charges include Valuation Manual and PBR work expected by the Life Insurance and Annuities (A) Committee, including consideration of the VM-22 (A) Subgroup efforts to pose a PBR methodology for non-variable (fixed) annuities. Report progress to the Principle-Based Reserving Implementation (EX) Task Force and to the Life Insurance and Annuities (A) Committee.—Essential

  • Respond to requests/referrals from the Life Insurance and Annuities (A) Committee regarding reserves or other requirements, including contingent deferred annuities and any other relating to current or new product lines.—Essential

  • Monitor international developments regarding life and health insurance reserving. Compare and benchmark with PBR requirements.—Important

  • Work with the American Academy of Actuaries (Academy) and the Society of Actuaries (SOA) to develop new Valuation Basic Table (VBT) and Commissioners Standard Ordinary (CSO) Mortality Table, including tables for preneed, simplified issue and guaranteed issue forms of life insurance and minimum nonforfeiture requirements for life insurance. Provide periodic status reports on this project. —Important

  • Review Actuarial Guideline XLIII—CARVM for Variable Annuities (AG 43) and recommend changes as appropriate to the requirements. Work with any recommendations from the C-3 Phase II/AG 43 (E/A) Subgroup.—Essential

  • Review Actuarial Guideline XXXIII—Determining CARVM Reserves for Annuity Contracts with Elective Benefits (AG 33) and provide recommendations and changes as appropriate to address reserving issues. —Important

  • Study the feasibility of a new nonforfeiture law for life insurance and annuities to replace the existing nonforfeiture standards. Provide periodic status reports on this project.—Important

  • Work with the SOA to continue development of reporting channels of distribution information needed to better establish Generally Recognized Expense Table (GRET) factors.—Important

  • Address approvals from the Life Insurance and Annuities (A) Committee regarding Task Force requests to work on model requirements, including any approvals for modifications to the Actuarial Opinion and Memorandum Regulation (#822).—Important

  • Consider any revisions, as appropriate, for the Synthetic Guaranteed Investment Contracts Model Regulation (#695).—Important

  • Develop the Actuarial Method for the Principle-Based Reserving Implementation (EX) Task Force’s review and consideration in adopting items such as the XXX/AXXX Reinsurance Model Regulation and possible changes to the Actuarial Opinion and Memorandum Regulation (#822). The Actuarial Method should consist of VM-20, Requirements for Principle-Based Reserves for Life Products, modified to incorporate changes to mortality tables as developed by the American Academy of Actuaries and any other appropriate modifications determined by the Life Actuarial (A) Task Force, and should explicitly keep (in current or modified form) or eliminate the “net premium reserve” component of the current VM-20.—Essential

  • Develop an actuarial guideline to provide interim guidance for the Actuarial Opinion and Memorandum Regulation (#822) as it relates to XXX/AXXX reinsurance transactions. The actuarial guideline should specify that, in order to comply with Model #822, the opining actuary must issue a qualified opinion as to the ceding insurer’s reserves if the ceding insurer or any insurer in its holding company system has engaged in a XXX/AXXX reserve financing transaction that does not adhere to the Actuarial Method and Primary Security forms adopted by the NAIC. The Principle-Based Reserving Implementation (EX) Task Force’s XXX/AXXX Reinsurance Framework Exhibit 3 should be considered for this actuarial guideline, modified as appropriate by the Task Force.—Essential

  • Draft amendments, if needed, to specify that, in order to comply with Model #822, the opining actuary must issue a qualified opinion as to the ceding insurer’s reserves if the ceding insurer or any insurer in its holding company system has engaged in a reserve financing transaction that does not adhere to the XXX/AXXX Reinsurance Model Regulation and other aspects of the XXX/AXXX Reinsurance Framework, as adopted by the Task Force.—Essential

  • Develop an actuarial guideline to provide uniform guidance for illustration of indexed universal life policies.—Essential

  • Provide recommendations and changes as appropriate to other reserve and nonforfeiture requirements to address issues and provide actuarial assistance and commentary to other NAIC committees relative to their work on actuarial matters.—Important

NAIC Support Staff: Reggie Mazyck/Eric King

 

Conference Call Calendar

NAIC conference calls & interim meetings are available on the NAIC Conference Call Calendar. See NAIC's revised policy statement on open meetings.

There are no advance materials at this time.

There are no education and training events at this time.

Go to the exposure draft index.

Exposure of 2017 CSO Valuation Manual Amendment Proposals

Exposure of Amendment Proposal for the 6/30/15 VM-20 Investment Spread Tables
Spread Template 6/30/15

Amendment Proposal for UCS
Amendment Proposal for Mortality Credibility Tables
Amendment Proposal for PBR Margins

Comments will be accepted through Friday, August 7, 2015. Please send comments to Reggie Mazyck

documents and resources

Spreads Template 12/14 vs. 3/15
Exposed through May 20, 2015
Send comments to Reggie Mazyck

Base Tables:
2015 VBT Unismoke ANB/ALB Tables
2015 VBT Smoker-Distinct ANB/ALB
Tables

Relative Risk Tables:
2015 VBT Male Non-Smoker RR ANB
Tables

2015 VBT Female Non-Smoker RR ANB Tables
2015 VBT Male Non-Smoker RR ALB
Tables

2015 VBT Female Non-Smoker RR ALB
Tables

2015 VBT Male Smoker RR ANB Tables
2015 VBT Female Smoker RR ANB Tables
2015 VBT Male Smoker RR ALB Tables
2015 VBT Female Smoker RR ALB Tables

Valuation Manual 6/18/15

AG 33 Proposed Edits:

12-31-14 VM-20 Cover Letter
12-31-14 VM-20 Spreads
FAQ on Qualifications and PBR
AAA AG33 Letter and Non-Elective Benefits Proposal-Exposed through close of business 9/16/14
Report on the Results of the Principle - Based Reserving State Resource Survey
VM-20 Impact Study – Towers Watson

Amendment Proposal Form

Generally Recognized Expense Table ("GRET"):

The report of the Society of Actuaries (SOA) Committee on Life Insurance Company Expenses regarding the 2014 2015 GRET Factors was adopted by the NAIC Executive Committee/Plenary at the 2014 Fall National Meeting.

These factors will become the new GRET standard as of Jan. 1, 2015 to 2016.

Life Insurance Illustrations Model Regulation
Related NAIC Publications

Draft meeting minutes are available free for meeting attendees 10 business days after a national meeting concludes, using the User ID and Password supplied by the NAIC. Regulators may access minutes via StateNet.
Final committee minutes and Proceedings of the NAIC are available to non–attendees, after adoption at the next national meeting, for free in the PDF format through the NAIC Products & Services website.

Annual and Quarterly Statement Blanks

Annual and Quarterly Statement Instructions
Compendium of State Laws on Insurance Topics
Life and Health Actuarial Subscription
Model Laws, Regulations and Guidelines
Contacts
Media queries should be directed to the NAIC Communications Division at 816-783-8909 or news@naic.org.
Reggie Mazyck
Life Actuary
Phone: 202-471-3991
Please see the current Committee List for a complete list of committee members.