Commutation

  • 1888 - Book - Life Insurance Premiums and Reserves - Homans - 13p
    • [Bonk:  original 20p - can be found on GooglePlay, extraneous pages removed]
  • 1959 - SOA - Interpolation Commutation Columns, Society of Actuaries - 6p

  • Commutation columns and valuation factors based on 1958 CSO mortality table. [Worldcat: One Copy available at Indiana University]

  • USAA Life Ins. Co. v. Commissioner - United States Tax court Mar 26, 1990 94 T.C. 499
    • Conceptually similar to the NLP, the GMP differs in some notable respects.
      • The GMP is calculated using universal life fund mechanics;
      • the NLP uses commutation functions.
      • The GMP is based on policy guarantees of interest and mortality;
      • the NLP is based on valuation assumptions of interest and mortality.

NLP = Net Level Premium

GMP = Guaranteed Maturity Premium