ASB Headlines
- ASB Releases Exposure Draft Revising the Introduction to the ASOPs
- PENSION COMMITTEE NEWS: Comment Period Ends for Request for Comments for Review of ASOP No. 27
- ASB Approves New Communication Statement to Clarify Its Role
- GENERAL COMMITTEE NEWS: ASB Continues Revisions to ASOP No. 41 and Deviation Language
- HEALTH COMMITTEE NEWS: ASB Explores a Possible Repeal of ASOP No. 31
- LIFE COMMITTEE NEWS: ASB Reviews ASOP No. 10, Other ASOPs, for Regulatory Consistency
- ASB Expands Its Comprehensive Interested Parties Database
- ASB to Meet September15–16 in Washington
ASB Releases Exposure Draft Revising the Introduction to the ASOPs
The ASB has released an exposure draft of a revised version of the Introduction to the Actuarial Standards of Practice (ASOPs), which clarifies and updates certain language in the document.
Specifically, the language in sections 3.1.2 and 3.1.3 has been modified to articulate more clearly that the ASB does not simply codify existing practices when it develops ASOPs.
References to prescribed statements of actuarial opinion (PSAOs) have been removed from the draft and details on deviation have been replaced by a reference to the ASOPs. This reflects the current project to standardize the deviation provisions in ASOPs and move the substantial guidance on deviation to ASOP No. 41, Actuarial Communications.
Click here to download the exposure draft. The comment deadline is August 22, 2008.
Read comments on this exposure draft
Comment Period Ends for Request for Comments for Review of ASOP No. 27
The ASB is planning an extensive review of ASOP No. 27, Selection of Economic Assumptions for Measuring Pension Obligations, in light of changes in actuarial practice since its approval in 1996. To that end, the ASB Pension Operating Committee has drafted a Request for Comments.
The comment period for this exposure ended on August 1, 2008.
ASB Approves New Communication Statement to Clarify Its Role
At the ASB’s annual planning meeting in January 2008, the Board recognized the need to have a consistent, clear statement that sets forth what the ASB does and how it goes about its work.
As a result of that discussion, the Board adopted at its June 2008 meeting the following description of what ASOPs are and what the ASB does. The short statement or “sound bite” is the following:
The ASB establishes and improves standards of actuarial practice.
The longer version includes a brief description of how the ASB accomplishes these goals, and reads as follows:
The Actuarial Standards Board (ASB) establishes and improves standards of actuarial practice. These Actuarial Standards of Practice (ASOPs) identify what the actuary should consider, document, and disclose when performing an actuarial assignment. The ASB’s goal is to set standards for appropriate practice for the U.S.
When creating or revising an ASOP the ASB
For more information, contact ASB Program Manager Joe Vallina at vallina@actuary.org or (202) 223-8196.
ASB Continues Revisions to ASOP No. 41 and Deviation Language
In June, the ASB heard a report on the comments received on a recent exposure draft, Proposed Revision of Deviation Language for All Standards and Removal of References to PSAOs From All Standards (All Practice Areas) and a report on the progress on ASOP No. 41, Actuarial Communications, which is currently under revision.
These two documents are intertwined, and the Board gave the General Committee suggestions to follow in the continued redrafting of ASOP No. 41 in light of the concurrent changes to the deviation language.
The General Committee will deliver a new version of ASOP No. 41 for approval as an exposure draft at the September ASB meeting. The deviation task force is preparing a separate document on the deviation draft for ASB approval to be released at the same time as the ASOP No. 41 exposure.
ASB Explores a Possible Repeal of ASOP No. 31
The Board has authorized the Health Committee to evaluate the appropriateness of repealing ASOP No. 31, Documentation in Health Benefit Plan Ratemaking, as many of the points covered in the standard could be duplicative of points covered in the upcoming revision of ASOP No. 41, Actuarial Communications.
The committee will present an exposure draft, if appropriate, at the September ASB meeting.
ASB Reviews ASOP No. 10, Other ASOPs, for Regulatory Consistency
The Board has authorized the Life Committee to create a task force to update ASOP No. 10, Methods and Assumptions for Use in Life Insurance Company Financial Statements Prepared in Accordance with GAAP, to make it current with regard to changes in accounting standards.
The Board further asked that all committee chairs identify any ASOPs under their purview that may have similar problems with respect to FASB, the SEC, or any other regulatory bodies.
ASB Expands Its Comprehensive Interested Parties Database
The ASB has begun the implementation of a more robust database of non-actuaries and government and regulatory bodies. The Board’s goal is to more effectively communicate with interested parties outside the profession. This project will begin its outreach activities by the end of July and will continue to be updated and expanded as time goes on.
To sign up for the interested parties database or to suggest individuals who may be interested in being in the database, please send an email to asbrequests@actuary.org with the subject line “Interested Parties.”
ASB to Meet September 15–16 in Washington
The next scheduled meeting of the ASB will be on September 15–16, 2008, at the Academy offices in Washington.
For more information, e-mail ASB Program Manager Joe Vallina or call him at (202) 223-8196.
