Executive Committee Report to Council

Audience: Council Delegates

The EC minutes of its September 22 meeting are available online. The next EC meeting is scheduled for October 20. Should you have any questions or comments, please contact the Executive Director.

IAA paper “Introduction to Climate-Related Scenarios” 

Audience: All

We are pleased to provide a draft of the IAA paper “Introduction to Climate-Related Scenarios” for review and comment. This is the second of a series of papers being developed by the the IAA Climate Risk Task Force as a deliverable in the Statement of Intent for IAA Activities on Climate-related Risks (SOI) adopted by the IAA Council on 7 May 2020. The first paper titled Importance of Climate-Related Risks for Actuaries was published in September 2020 and is the subject of an upcoming webinar (see announcement immediately below).

The draft had been previously circulated to FMA Liaisons to the IAA Climate Risk Task Force or IAA delegates representing your association in any one or more related committees. We encourage everyone to review it and that you share the draft with your home association – especially with those engaged in climate related risk initiatives - to review and provide feedback from your association’s perspective. Please note that this will be your association’s only opportunity to comment on the draft paper.

We ask that you and your association particularly consider the following questions:

Considering this paper to be an introduction to climate-related scenario development, and also considering the topics of papers to follow in this series,

1. Does it cover the right level of background information on climate change?
2. Does it adequately cover the principles needed for developing climate change scenarios?

We kindly request you to follow the instructions in the comment template to submit your comments.

Please e-mail your comments in an attachment to climaterisk.comments@actuaries.org.

We look forward to receiving your feedback as soon as possible, but no later than 12 October 2020.

Feel free to contact Amali Seneviratne at the IAA Secretariat (amali.seneviratne@actuaries.org) if you have any questions.

Micheline Dionne

Chair, IAA Climate Risk Task Force

IAA Webinar on the Importance of Climate-Related Risks for Actuaries

Audience: All

As previously announced, this webinar will be held on Friday, October 9 from 8:00-9:00 AM EDT

Climate-related risk has the potential to seriously affect the entire world. The degree and timing of upcoming changes in our climate involve a great deal of uncertainty, creating widespread concern about its recent and potential impacts under alternative possible scenarios. Even if the most severe climate-related risk scenarios do not materialize, many financial institutions and most individuals will nevertheless be affected. A range of effects is now being actively considered by governments, regulators, the insurance and reinsurance industries, pension plans and other entities.

The paper to be presented during this webinar discusses the main components of the climate-related risks relevant to actuaries, their implications, the broad categories of actuarial work and the importance of climate-related risk to each category. The categories considered are actuarial modelling, product management, risk and capital management, investment management, and disclosure.

Join Micheline Dionne, Stuart Wason and Nick Dexter

Registration available at: https://bit.ly/33E4lRK 

IAALS Section Webinar - An approximation to re-estimate the over-mortality occurred and not reported in missing persons: The Mexican case

Audience: All

In Mexico the problem of missing persons increases every year. In fact, official statistics suggest that, in 2019, this figure exceeds 40 thousand. There are several implications for insured missing persons, because their vital status is unknown and the affected beneficiaries can´t claim the respective insured sum because of the absence of the required death certificates. The exact number of missing persons with life insurance is unknown, however the Mexican Association of Insurance Companies (AMIS in Spanish) reports an increasing trend of homicides in the life insured population. A typical situation is to find missing persons as corpses in clandestine graves. There is also an excess demand of forensic services, which causes severe delays in corpse identification and issue of death certificates. The objective of this paper is to re-estimate the over-mortality assuming that missing people are death. To do that, smoothing by segments and other statistical tools are employed for re-estimation. The estimate are based on real data from the AMIS and the Mexican government ministry. The new estimates suggest the necessity to constitute a new reserve to face the possible new claims from beneficiaries of the insured missing persons. According with the estimates, the main changes appear around the called accident hump.

Speaker: Eliud Silva, Professor of Statistics at Universidad Anáhuac México
Time: October 28, 2020 from 9:00-10:00 AM EDT)
Registration is open to IAALS Section members

 Reminders