It developed the new tables to give pension actuaries and plan sponsors current information to assist in setting mortality assumptions once it was determined that public pensions have differing levels of mortality than private pensions.
Tag: mortality tables
The SOA said it developed the new tables once it was determined that public pensions have differing levels of mortality than private pensions. It is soliciting comments on its proposal.
The updated mortality improvement rates and static tables apply for purposes of calculating the funding target and other items for valuation dates occurring during calendar year 2019.
With life expectancies declining slightly, pension plan obligations are reduced between 0.7% and 1.0%, the Society of Actuaries says.
In a statement, ERIC said it is pleased the agency took into account its request for flexibility for DB plan sponsors to potentially delay for one year the use of the new mortality tables for purposes of satisfying minimum funding standards.