ASOP 41

Question 1

If an actuarial document contains materially different results to a prior report from the same actuary, the later report needs to:

Answer 1

• state clearly that the earlier results are no longer valid

* explain why the results have changed

Question 2

Examples of items that should be disclosed in the actuarial report:

Answer 2

• The actuary responsible for the document
• The date & subject of the document
• The intended users of the report
• The scope& intended purpose
• Acknowledgement of qualification
• Any cautions about risk & uncertainty
• Any limitations/ constraints on the use of the actuarial findings
• Any conflict of interest

Question 3

Disclosures necessary if any of the used assumptions/ methods are prescribed by law:

Answer 3

• The applicable law
• The assumptions or methods prescribed by the law
• That the report was prepared in accordance with the law

Question 4

Disclosures necessary if the actuary states reliance on other sources and does not accept responsibility:

Answer 4

• The assumption or method set by the other source
• The other source
• The reason that the other source set the assumption or method
• Either (if applicable): the assumption or method significantly conflicts with that which the actuary believes to be reasonable for the purpose of the report/ the actuary was unable to judge the reasonableness of the assumption or method without performing a substantial amount of additional work; or that the actuary was unqualified to assess the reasonableness