CMI Working Paper 58 completes the further work identified in Working paper 50, which presented the "AC04 Series" of claim diagnosis rates for accelerated critical illness insurance, on a 'lives' basis, using data for claims settled in the period 2003 to 2006. Specifically, it describes the supplementary analyses designed to aid understanding of the AC04 Series rates.
Specifically, it describes the supplementary analyses designed to aid understanding of the AC04 Series rates. The main assumptions underlying the AC04 Series rates are restated and the sensitivity of the rates to them considered.
The Committee has developed an approach for deriving approximate standard errors to help actuaries to understand and allow for uncertainty associated with the rates. These also provide support for the existence of a select effect by duration.
The paper reports on the experience of subsets of the data to examine whether they exhibit different underlying claims experience and hence whether the characteristics used to define these subsets could be regarded as risk factors not allowed for explicitly in the AC04 Series rates
Two types of analysis were undertaken: a series of one-way analyses and a multivariate analysis, using a generalised linear model. The AC04 Series rates apply only to accelerated critical illness business; this paper also examines the experience of stand-alone business.
CMI Working Paper 58 contains a statement that the Committee intended to recommend the AC04 diagnosis rates for ‘adoption’ by the IFoA.
It was subsequently agreed that the concept of adoption was no longer relevant and this was not pursued. It should not be inferred that there was any dilution of quality standards in respect of the AC04 tables.
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We continue to live in a world of global uncertainty. Survival depends on our ability to simultaneously navigate through the diverse root-causes, ranging from: the consequences of Climate Change; transitioning to Net Zero; increased inflationary pressures and supply chain issues; to self-imposed changes in regulatory requirements. CILA 2022 focuses on these challenges to ensure we continue to be informed and remain battle ready, as well as showcasing highlights of recent CMI outputs.
Opportunity to participate in a virtual Roundtable Discussion hosted by the IFoA in conjunction with the City of London Corporation’s Socio-economic Diversity Taskforce
In the spirit of fostering the IFoA’s vibrant, global community and enabling our members to participate, we have decided to hold our AGM virtually again this year. This allows for greater accessibility to this important annual event, and for greater accountability of our organisation.
The Business of the AGM
Join newly inaugurated IFoA President, Matt Saker, for his Presidential Address.
We’re delighted to welcome you back to our first in-person conference since early 2020, also being delivered virtually in our first-ever hybrid event. The theme of our inaugural two-day conference is ‘Focusing on tomorrow’s actuary’ and will explore the contribution actuarial science is making to some of tomorrow’s biggest issues.
This webinar will cover:
• Some background on the risks of misselling in an ESG context, including the DWS case
• Achieving positive impact is a strong antidote to the risks of greenwashing or ESG misselling, however this risks having a tension with fiduciary responsibilities
• This tension can be resolved with a concept called Universal Ownership
• Under Universal ownership, investors have an appetite to make a loss in order to achieve positive impact, and yet still have no compromise on their fiduciary responsibilities
This session will focus on the transformation roadmap of the healthcare sector in KSA and the role of actuarial capabilities in enhancing its evolution to the desired end stage as per the objectives of the Vision 2030. The discussion will focus how the system has evolved so far and shed light on the expected future changes. Through examining the transformation, we will highlight how the sector is and can use actuarial expertise to not only assist with this transformation but also use basic actuarial principles to identify the key risks and their respective mitigation strategies.