AGs - Actuarial Guidelines

1. Report of American Academy of Actuaries Liaison Committee

Gary D. Simms, general counsel of the American Academy of Actuaries, summarized the report of the Liaison Committee (Attachment One).

  • He indicated the purpose of the committee was to interact with the NAIC on a policy level as well as to provide support to various groups within the NAIC.
  • He mentioned that among other activities, the Academy had published the NAIC Actuarial Guidelines in the 1986 Academy Journal and plans to do so again this year as well as provide other communication of NAIC actuarial activities to the Academy members.

1988-1, NAIC Proceedings

  • The Emerging Actuarial Issues (E) Working Group responds to questions of application, interpretation and clarification with respect to Actuarial Guideline XXXVIII—The Application of the Valuation of Life Insurance Policies Model Regulation (AG 38).

Interpretations of the Emerging Actuarial Issues (E) Working Group

Valuation Manual
Jan. 1, 2020 Edition

VM-C: Appendix C – Actuarial Guidelines
Guidance Note: This appendix references the following requirements from Appendix C of the AP&P Manual.
Guideline No. TITLE

  • I Interpretation of the Standard Valuation Law With Respect to the Valuation of Policies Whose
    Valuation Net Premiums Exceed the Actual Gross Premium Collected
    II Reserve Requirements With Respect to Interest Rate Guidelines on Active Life Funds Held
    Relative to Group Annuity Contracts
    IV Actuarial Interpretation Regarding Minimum Reserves for Certain Forms of Term Life
    V Interpretation Regarding Acceptable Approximations for Continuous Functions
    VI Interpretation Regarding Use of Single Life or Joint Life Mortality Tables Draft 20 June 1983
    VII Interpretation Regarding Calculations of Equivalent Level Amounts
    VIII The Valuation of Individual Single Premium Deferred Annuities
    IX Form Classification of Individual Single Premium Immediate Annuities for Application of the
    Valuation and Nonforfeiture Laws
    IX-A Use of Substandard Annuity Mortality Tables in Valuing Impaired Lives Under Structured
    IX-B Clarification of Methods Under Standard Valuation Law for Individual Single Premium
    Immediate Annuities, Any Deferred Payments Associated Therewith, Some Deferred Annuities
    and Structured Settlements Contracts
    IX-C Use of Substandard Annuity Mortality Tables in Valuing Impaired Lives Under Individual
    Single Premium Immediate Annuities
    XIII Guideline Concerning the Commissioners’ Annuity Reserve Valuation Method
    XIV Surveillance Procedure for Review of the Actuarial Opinion for Life and Health Insurers
    XVI Calculation of CRVM Reserves on Select Mortality and/or Split Interest
    XVII Calculation of CRVM Reserves When Death Benefits are not Level
    XVIII Calculation of CRVM Reserves on Semi-Continuous, Fully Continuous or Discounted
    Continuous Basis
    XIX 1980 CSO Mortality Table With Ten-Year Select Mortality Factors
    XX Joint Life Functions for 1980 CSO Mortality Table
    XXI Calculation of CRVM Reserves When (b) is Greater Than (a) and Some Rules for
    Determination of (a)
    XXIII Guideline Concerning Variable Life Insurance Separate Account Investments
    XXV Calculation of Minimum Reserves and Minimum Nonforfeiture Values for Policies With
    Guaranteed Increasing Death Benefits Based on an Index
    XXVI Election of Operative Dates Under Standard Valuation Law and Standard Nonforfeiture Law
    XXVII Accelerated Benefits
    XXVIII Statutory Claim Reserves For Group Long-Term Disability Contracts With a Survivor Income
    Benefit Provision
    XXIX Guideline Concerning Reserves of Companies in Rehabilitation
    XXX Guideline for the Application of Plan Type to Guaranteed Interest Contracts (GICS) With
    Benefit Responsive Payment Provisions Used to Fund Employee Benefit Plans
    XXXI Valuation Issues vs. Policy Form Approval
    XXXII Reserve for Immediate Payment of Claims
    XXXIII Determining CARVM Reserves for Annuity Contracts With Elective Benefits