Mortgage Loan Industry Experience Factor
The Average Industry Experience Factor (AvIEF) to be used for the June 30, 2010, quarterly statement is 0.006 percent. The AvIEF is defined in the Asset Valuation Reserve section of the NAIC‘s Annual Statement Instructions Life, Accident & Health for the year 2010. The IEF is an average of the mortgage data received at the NAIC for eight (8) previous quarters as follows:
Individual companies should utilize information from the same quarters in calculating their average Company‘s Experience Factor (AvCEF).
Please note that changes made to the Life Risk-Based Capital minimum and maximum adjustment limits do not apply to the Asset Valuation Reserve calculation.
Contact Dan Swanson of the NAIC by phone at (816) 783 - 8412 or by e-mail at DSwanson@naic.org with any questions concerning this factor.