Newsletter - June 2005
|Alf Guldberg, President
|Yves Guérard, Secretary
|Jean-Louis Massé, President-Elect
|Luis Huerta, Immediate Past President
taken at June 16, 2005 Council Meeting
- Seven actuarial
practice guidelines adopted for International Financial Reporting Standards At
its meeting on June 16, the Council adopted seven actuarial practice guidelines. All
actuaries who perform work in an international environment should be aware that these
guidelines exist and that they apply to them. Member associations are asked to communicate
this information to their individual members. The topics covered by these guidelines
are: Actuarial Practice, Measurement, Current Estimates, Classification of Contracts,
Liability Adequacy Testing, Discretionary Participation Features and Changes in Accounting
Policies. The standards are currently being finalized and will be available on the IAA
Web site in the next couple of weeks. A special announcement will be sent at that time.
- Full Member Association
dues for 2006 set at $12.50 CAD based on the aggregate number of fully qualified actuaries
- Adoption of audited
financial statements at December 31, 2004 and revised
budget for 2005 Both
documents, as approved, are available online.
- Admission of New Full
and Associate Member Associations Council
admitted as Full Member associations the Hrvatsko Aktuarsko Drustvo (Croatian Actuarial
Association) and the Pakistan Society of Actuaries. The Asociatia Romana de Actuariat (Romanian
Actuarial Association) was admitted as an Associate Member. Congratulations and Welcome!
and Reappointments to IAA Committees and Subcommittees Consult the full
list of appointments and reappointments to IAA Committees and Subcommittees online.
Nominations Committee announced to Council its intent to recommend at the Council meeting
on November 19, 2005 the election of Peter Clark of the United Kingdom as President-Elect
for the year 2006
this article to find out what events are being planned.
- That the IAA has six Sections whose work
extends beyond research and scientific into practice specific? Find out how you can become
involved by navigating their respective Web sites that form part of the IAA Web site (www.actuaries.org).
- That the focus of the International Congresses
of Actuaries has evolved? They now include sessions covering a wide range of topics of actuarial
practice. Experience it for yourself – come to Paris in 2006! Read more about the Congress
in the planned events section.
Too Well Guarded Secret
Do you know that the IAA Web site gives you
access to a Virtual Global Actuarial Library? The icon labeled “Virtual Global Actuarial
Library” launches a search into a seamless universe comprising over 180,000 documents
from over 70 sites of interest to actuaries such as the libraries of actuarial associations,
a number of academic libraries, those of the OECD, the World Bank, WHO, ILO, etc. As you search
only within a selected group of sites, this drastically reduces the number of non relevant
answers. You can further narrow the search universe by selecting in or out specific domains
or libraries by type, language or geographic areas. Within the whole universe or the part you
selected, your search proceeds automatically from a single click; you do not need to write
down the addresses one by one, assuming you could think of them. You can obtain the definition
of each category by clicking on the name of the category.
When you find an interesting document, an
icon will be available to allow you to translate it into one of the 8 languages supported by
our customized Automatic Translation tool, which is another facility that can also be used
independently of the Library search. The languages are Chinese, English, French, German, Japanese,
Spanish and Russian. Do not expect polished translations. We are working on improving the results
by adding terms and expressions in a custom actuarial dictionary, but it is still a work in
progress. However, it will give you the gist of the document or message and will allow you
to decide if you wish to have it professionally translated.
The search tool itself is quite flexible
in helping you define your search algorithm through a combination of AND, OR, NOT, NEAR, etc.
You can build detailed search queries by using the “Advanced Search” option and
get detailed instructions by clicking on “Help”. Of course you can use the automatic
translator to insert key words in other languages to widen your search algorithm.
We have assembled this Virtual Global Actuarial
Library to facilitate access to our core body of actuarial knowledge and to professional information
of interest to actuaries. We believe this search tool is a very efficient way of sharing knowledge
within the global actuarial profession and of improving the quality of actuarial services around
the world. Although we have publicized this library on numerous occasions, we note that the
rate of utilization remains limited. Anecdotical evidence indicates that many members are not
aware of the existence of this tool or are not aware that, as a full member of a Full member
association of the IAA, they are members of the IAA and have free access to all these services.
As use of the Search tool increases, we expect
to receive suggestions for the inclusion of target sites that we have not yet integrated into
the database. If your site is not included in the Virtual Global Actuarial Library or if you
know of other useful sites, please contact Christian Levac at email@example.com with
any suggestion or comment on the use of the tool itself.
on the Work of IAA Committees and Sections
out what is happening within the IAA committees and sections.
got yours yet? A Global Framework for Insurer Solvency Assessment: A Research
Report by the IAA’s Insurer Solvency Assessment Working Party – Less than 75
copies left - Order Your Copy Today – CLICK
from Member Associations
Meetings in Rome break all records!
The recent IAA Council and Committee meetings
held in Rome attracted more delegates than could have been imagined! In total, there were 208
delegates and 73 accompanying persons representing 33 countries. Representation by membership
category was as follows: 39 of 50 Full Member associations, one of 24 Association Member associations,
2 of 3 Institutional Members and all six sections. Total voting rights represented, including
proxies and ballots, totalled 85.34%!
|The IAA expresses its sincere
gratitude to our Italian hosts, the Istituto Italiano degli Attuari, who managed to secure
the most impressive location in Rome to treat their guests to a wonderful dinner with one
of the most beautiful views of Rome! See for yourself!
|Carla Angela, President
of the Istituto Italiano degli Attuari, receives blown glass replica of the IAA globe from
President Alf Guldberg.
2006 in Paris and Bursaries
The Council was informed of generous donations
to the Congress Bursary Fund of the IAA made by the ASTIN Section and the IACA Section, in
the amount of $40,000 and $15,000 respectively; the AFIR/ERM section will decide on its contribution
at its next meeting this coming September. Donations are welcome from associations, individual
actuaries, companies or institutions and would help the Member Services Committee to sponsor
more actuaries from developing economies with the potential of becoming leaders in the global
profession. The next opportunities will be in 2010 in South Africa and in 2014 in the United
The bursary application form is available
on the website at www.actuaries.org/Congress_Bursary_EN.cfm.
Early registrants to the Paris Congress can enjoy a reduced fee until July 31, 2005 by connecting
by the President and the Secretary
Official Representation Activities
To give you a feel for the level of activity
within the IAA leadership, the IAA was officially represented at the following events recently:
- By Alf Guldberg at the Conference of the
Institute of Chartered Accountants in Brussels in April
- By Luis Huerta at the World Bank Contractual
Savings Conference in Washington in April
- By Alf Guldberg at the Deutsche Aktuarvereinigung
e. V. (DAV) annual meeting in Berlin in April
- By Alf Guldberg at the Institute of Actuaries
of Australia Biennial Convention in Cairns in May
- By Yves Guérard at the International
Pensions Forum in Taipei in May
- By Jim MacGinnitie, Steve Handler, Chris
Daykin, Norm Crowder and Nicole Séguin at a meeting with the World Bank and other
international organizations in Washington in June
- By Alf Guldberg at the Association Suisse
des Actuaires (Switzerland) centenary celebrations in Basel in June
of Outgoing Chairpersons
Council awarded a plaque to recognize the
contribution of the following past Committee Chairpersons:
Cecil Bykerk, Chairperson, Education Committee,
1998-2004 (below left)
Norbert Heinen, Accreditation, 2000-2004
Jean-Louis Massé, Professionalism,
2002-2004 (below right)
Stuart Wason, Supranational Relations,
(Unfortunately Norbert and Stuart could
not be present at the Council meeting. Stuart received his plaque earlier in the week at
the Nominations Committee meeting and Norbert will receive his at a later date.)
Pensions Forum in Taipei
Secretary General Yves Guérard addressed the International Pensions Forum organized
jointly by the Actuarial Institute of the Republic of China (AIRC) based in Taipei and the
Taiwan Insurance Institute, and sponsored by the IAA Fund. Details
are available online.
held in conjunction with IAA meetings For the first time, the Presidents’ Forum
was held in conjunction with the IAA meetings. The meeting took place in Rome and attracted presidential
representation from close to 40 of the 50 Full Member Associations of the IAA. The meeting was
a success and the next one is planned for November 20, 2005 in Rio de Janeiro, Brazil.
Council Members of the IAA pre-1998 reunite in Brussels Over 30 members of the IAA
Council prior to the restructure in 1998 reunited in Brussels on June 11 for a commemorative
dinner at the traditional La Maison du Cygne. The event had been initiated by Jean Berthon (France),
Carla Angela (Italy) and the late Catherine Prime (Australia). André Lamens and Willy
Lenearts, President and Secretary General of the IAA for many years up until the restructure
in 1998, joined current President and Secretary General, Alf Guldberg and Yves Guérard,
in reuniting with their former colleagues for an evening of camaraderie and reminiscing.
Malcolm Murray ensured that all traditions were followed by leading the group into a rendition
of “Sunshine Mountain”!
IAA Events you won’t
want to miss
September 5-7, 2005 – Zurich, Switzerland
September 7-9, 2005 – Zurich, Switzerland
and Committee Meetings and Presidents’ Forum
November 17-20, 2005 – Rio de Janeiro, Brazil
and Committee Meetings and Presidents’ Forum
May 24 to 28, 2006 – Paris, France
International Congress of Actuaries
May 28 – June 2, 2006 – Paris, France
Registration is now
Take advantage of
a lower fee until July 31, 2005
Long Range Planning
The International Actuarial Events Calendar
is the perfect tool for your long range planning. Visit it often through the link on
the IAA’s home page. Member associations are encouraged to post their events in the calendar
to make the tool as useful as possible. If you have misplaced your association’s login
and password, send an email to firstname.lastname@example.org.
AUGUST 8-12: Dependent risks in actuarial
science and finance: The 18th International Summer School 2005 of the Swiss Association
of Actuaries will be held August 8-12, 2005 at the University of Lausanne, Switzerland. For
more information and online pre-registration, see the web site: www.saa-iss.ch.
Deadline for registration is March 31, 2005.
AUGUST 25 TO SEPTEMBER 2: Second Brazilian
Conference on Statistical Modeling in Insurance and Finance: Ubatuba, São Paulo
from August 25 to September 2, 2005. The conference encourages the submission of original
research papers, work-in-progress reports, future research proposals, practical problems
expecting solution and students papers. Full details on this scientific conference are available
at : www.ime.usp.br/~ubatuba/2nd/.
OCTOBER 6-8: Workshop on New Mathematical
Methods in Risk Theory in honour of Hans Bühlmann – Florence, Italy
We renew the invitation to contribute with
the submission of papers to the Workshop “New Mathematical Methods in Risk Theory”,
which will take place in Florence on 6-8 October 2005, to celebrate Hans Bühlmann’s
Titles and abstracts of contributed papers
can be submitted by the on-line procedure activated in the Workshop web page, www.riskworkshop.it
Here is a list of useful information (for
details, please see the above mentioned site).
- Extended deadline for abstract
submission: the new deadline is 30 June, 2005
- Registration: you can register
on-line at the Workshop web page. The registration fee (100 euros if you register before 15
September 2005) covers: Workshop information/documentation (including the abstracts CD-ROM);
Cofee breaks; Welcome reception (October 6); Workshop dinner (October 7).
- Accommodation: on the workshop
site you can find a list of suggested hotels, both in the City Center and in the Workshop
Venue area, which are willing to practice discounts to the Workshop participants. Our strong
recommendation is to book a hotel as soon as possible, since in Florence it is always high-season!
We look forward to meet you in Florence
Marcello Galeotti, Cecilia Mancini
(for the Organizing Committee)
Research Conference - New Developments
in the Quantitative Modelling of Insurance and Financial Risk
5 August 2005 - Four Seasons Hotel, Sydney, Australia
The Institute of Actuaries of Australia
will present a one day state of the art Research Conference followed by Dinner to recognise
and honour the research contributions to actuarial science by Dr Greg Taylor.
The Conference will feature a number of
international and Australian speakers who are recognised leaders in their field. The program
will include demonstrations of how research can be practically applied to improve risk management
and modelling for a business in financial and insurance risk.
Some of key issues to be discussed include:
- Loss reserving and forecasting
- Risk margins
- Correlation and dependence between lines
of business and diversification
- Risk dependence and risk aggregation
- More effective reinsurance arrangements
- Pricing and dynamic protection for equity
- Capital allocation and risk management
For more information about the Conference
and how to register, go to www.actuaries.asn.au and
click on Events
Institute of Actuaries of Australia -
XVth General Insurance Seminar,
16 - 19 October 2005 - Sheraton Mirage Hotel, Port Douglas, Australia
This year's theme for Australia's biennial
General Insurance seminar is appropriately titled Evolution of the Industry and will feature
leading speakers such as Dr John Laker, Chairman of the Australian Prudential Regulatory Authority
(APRA) and and Tony Coleman, Chief Risk Officer and Chief Actuary at IAG.
The Institute received an overwhelming response
to the call for papers with over fifty expressions of interest in presenting papers at the
seminar. Topics to be discussed include risk margins, pricing, catastrophes, claims and reserving,
risk based capital, accounting standards and issues, the insurance cycle and the market, tort
reform, premium liabilities and latent claims.
The Seminar will bring together actuaries,
industry leaders and other professionals in the general insurance industry to discuss contemporary
issues in the Australian and International environments. Registration details will be available
shortly at www.actuaries.asn.au
2005 Part III Education Program
For semester one there were 425 students
enrolled for exams in the nine subjects offered as part of the Part III Education Program.
Over 90 members assisted the Institute with marking assignments and another 90 were responsible
for marking exams, with some members being involved in both of these activities.
Part III students were asked to complete
a survey of their semester one experiences directly after the examinations were completed.
We received 158 responses to the survey from the 425 students enrolled in semester one.
The results of the survey were very constructive.
The clear majority of students stated that the aims and objectives of the course were clearly
presented, the course was relevant to their careers and that they felt more confident speaking
to their peers about the subject area after the course. The vast majority also commented that
the assignments were relevant, enabled them to build their knowledge of the subject and provided
an appropriate level of challenge. While the majority felt that the examination tested their
knowledge of the course material and readings.
Less encouraging though was the fact that
some respondents would have liked better quality course material and more adequate feedback
on assignments. Improving these areas and undertaking a thorough assessment of the allocation
of resources for the various components of the Education Program will be the focus of our future
We will be conducting a new compulsory course
in the second semester. The Commercial Actuarial Practice course will comprise a six day residential
program and will take a case study approach which will focus on improving the ability of students
to apply actuarial skills and approaches to a range of different business contexts and then
effectively communicate the solutions to a wide audience. The course will be assessed by means
of a full day case study assessment and a final examination.
The semester two enrolment period has begun
with enrolments progressing well. We look forward to the launch of the Commercial Actuarial
Practice course and a successful second semester program.
on the Work of IAA Committees and Sections
Click on the committee or section name to
learn more about their activities.
|Juan Carlos Padilla,
Edward Robinson, Vice-Chairperson
Ibrahim Muhanna, Vice-Chairperson
|Curtis E. Huntington, Chairperson
|Carla Angela, Chairperson
Paul Grace, Vice-Chairperson
Mary Frances Miller, Vice-Chairperson
|David Kingston, Chairperson
Tony Coleman, Vice-Chairperson
|Sam Gutterman, Chairperson
Paul McCrossan, Vice-Chairperson
Francis Ruygt, Vice-Chairperson
|Jukka Rantala, Chairperson
David K. Sandberg, Vice-Chairperson
|Peter Clark, Chairperson
and Employee Benefits
|Paul Thornton, Chairperson
Esko Kivisaari, Vice-Chairperson
|Helen Martin, Chairperson
Simon Van Vuure, Vice-Chairperson
Masaaki Yoshimura, Vice-Chairperson
|Hillevi Mannonen, Chairperson
Robert L. Brown, Vice-Chairperson
|Philippe Maeder, Chairperson
Graham Rogers, Vice-Chairperson
|Jean Berthon, Chairman
|David G. Hartman, Chairman
|Jean Berthon, Chairman
|Howard J. Bolnick, Chairman
|Adrian Waddingham, Chairman
from Member Associations
At its general meeting in May 2005 the Aktuarvereinigung Österreichs
(AVÖ) the (Austrian Actuarial Association) elected the following members of the managing
President : Dr. Klaus WEGENKITTL (email@example.com)
Vice president : Dir. Helmut HOLZER
Vice president : Prof. Dr. Walter SCHACHERMAYER
Treasurer : Mag. Christoph KRISCHANITZ (firstname.lastname@example.org)
Clerk : Dipl.-Ing. Manfred RAPF (email@example.com)
General secretary : Dipl.-Ing. Peter PRIELER (firstname.lastname@example.org)
Email : email@example.com
Tel.: +43 / 2682 / 72794
FAX: +43 / 2682 / 72794-0
of Actuaries (United Kingdom)
The Actuarial Profession
Announcing the launch of a new actuarial journal
The Faculty of Actuaries and the Institute of Actuaries are launching a new international
actuarial research journal in 2006. The Annals of Actuarial Science will publish
research papers in any area of actuarial science. It will be published twice yearly; in the Spring
and the Autumn. All papers will be subject to a rigorous process of peer-review. The UK actuarial
profession will continue to publish the British Actuarial Journal which will contain the
papers presented to sessional meetings of the Faculty and Institute along with transcripts of
the discussions and debates. The Editor of the Annals of Actuarial Science is Professor Mary
Hardy PhD, FIA, FSA (University of Waterloo, Canada) and the Associate Editors are:
Anthony Asher, F.I.A., F.I.A.A.
Philip Booth, F.I.A.
Andrew Cairns, Ph.D, F.F.A.
David Dickson, Ph.D., F.I.A.A., F.F.A.
David Forfar, F.F.A.
Lane Hughston, D.Phil.
Malcolm Kemp, F.I.A.
Angus Macdonald, Ph.D, F.F.A.
David Muiry, M.B., B.S., F.I.A.
Ragnar Norberg, Ph.D, Hon. F.I.A.
David Paul, F.F.A.
Michael Shelley, F.I.A.
Peter Tompkins, F.I.A.
Mark Trayhorn, F.I.A.
Richard Verrall, Ph.D.,Hon. F.I.A.
Howard Waters, D.Phil., F.I.A., F.F.A.
The Editor invites submissions in any area
of actuarial science or practice. In particular, we are interested in papers that are applied
in nature. The Annals of Actuarial Science welcomes papers in life insurance, general/property
and casualty insurance, pensions, finance, health insurance, insurance economics and econometrics.
Original research, review papers and case studies will all be considered for publication.
Authors are invited to submit papers for
publication in the Annals of Actuarial Science directly to the Editor at Statistics
and Actuarial Science, University of Waterloo, Waterloo, ON N2L 3G1, Canada or at firstname.lastname@example.org.
For more information (including instructions
to authors) visit the Actuarial Profession’s Website at www.actuaries.org.uk
Actuarial Society (United States)
Report on Actuarial Credibility Available
In light of recent challenges about the role of the casualty actuarial profession in the
United States, the Casualty Actuarial Society Board of Directors embarked on a critical examination
of current practice. The Board devoted a half-day of a 2004 meeting to exploring potential underlying
causes for the perceived credibility gap and to considering steps that might be taken by the
profession to enhance the public’s understanding of statements of actuarial opinion and
to maintain confidence in the actuarial profession.
Subsequently, the Board appointed the Task
Force on Actuarial Credibility and charged the Task Force to refine the board’s initial
observations and develop detailed work plans for suggestions that were considered to have potential
for high impact.
The Task Force Report was presented to the
CAS Board in May 2005 and is now available on the CAS Web Site for all interested parties.
The Board accepted the Report and directed the CAS Executive Council to consider the Task Force’s
recommendations and implement them as appropriate.
With the release of the Report, the Board
acknowledged that although the recommendations have a U.S. emphasis they also have broader
application, and therefore, the Report was distributed to other actuarial organizations around
the world. The Board also acknowledged that the recommendations are only first steps, and that
additional monitoring will be required for potential further actions.
Comments on the report are welcome, and can
be sent to email@example.com.
Call for Papers on Reserving Topics
The complex issues that are challenging the general insurance industry continue to impact
the actuarial profession and the reserving process within the profession. Actuarial expertise
is needed to deal with changing and unique exposures as well as to evaluate the adequacy of current
methods. As new and complex issues evolve, the need for actuaries to communicate their opinions
in an effective manner to various audiences is crucial.
The CAS Committee on Reserves is again pleased
to extend a call for papers on reserving topics. The complete announcement is posted in the
Research section of the CAS Web Site at www.casact.org
Proposals are due by July 8, 2005 to firstname.lastname@example.org.
Authors of accepted papers may be invited to present their work at the 2006 Casualty Loss Reserve
Seminar scheduled for September 11-12, 2006 in Atlanta, Georgia, United States. Accepted papers
may be published in the CAS Forum and will be available on the CAS Web Site prior to the Seminar.
A prize fund of $2,500 is available for the
outstanding papers submitted in response to the call. Both CAS members and non-members are
invited to submit proposals, and papers are not limited to only the suggested topics listed
in the announcement.
The CAS Committee on Reserves looks forward
to receiving your proposals.