Session from the 2007 Enrolled Actuaries Meeting
03/28/2007 - 8:00 - 9:15 AM
Session Category: Assumptions/Methods
Credits: EA Core 1.50 CPD 1.50
With the passage of pension funding reform, the responsibility of actuaries in selecting funding assumptions has been cut back. The setting of interest and mortality assumptions for funding is no longer left to the actuary’s judgment. The speakers examine the parameters for setting assumptions in the new environment. Is there anything beyond retirement age, turnover, and disability? What about assumptions for expense purposes? Should they be the same as for funding? Will the actuary still come up with a recommended contribution based on his/her best estimate? A very important aspect of this discussion is the application of the relevant ASOPs.