New York Asks Insurers To Update Assumptions

NU Online News Service, Nov. 21, 8:55 a.m. – The New York State Insurance Department says the state’s life insurers and fraternal benefit societies had better take actual market conditions into effect when they calculate their reserves this year.

The actuarial memoranda that discuss the reserves should talk about the effects of current economic conditions on interest rates, unwanted prepayments on debt securities, defaults on debt securities, and overall asset adequacy, according to a letter sent to carriers by the New York department.