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T he N ewsmonthly
A merican A cademy
Society of Actuaries (SOA), American Society of Pension Professionals & Actuaries (ASPPA), and Casualty Actuarial Society (CAS), the Academy concluded a special recruiting campaign at the end of December. As a result, the Academy welcomed 645 new members in the second half of 2007—more than twice the total added over the same period in 2006. Conducted from September through December 2007, the special campaign targeted SOA, ASPPA, and CAS members who didn’t belong to the Academy, including some who may have belonged in the past, and recruited 289 new members. Of that number, 129 have already renewed their memberships for 2008. The Academy’s Membership Committee spearheaded the drive. ith the help of the
Recruiting Efforts Strengthen Membership
“We were able to get several hundred people who I suspect had probably intended to join the Academy, but never got around to picking up their pens and doing it,” said Membership Committee Chairperson Dan McCarthy. “And we think that’s helpful for the profession, for unity among actuarial organizations, and to increase the Academy’s capability to carry out its mission.” McCarthy thanked Rachel Rusch, the Academy’s assistant director of membership relations, and the rest of the Academy membership staff, who coordinated and executed the initiative. SOA was helpful in identifying the lists of people who were Academy-eligible but who weren’t Academy members. Of the 289 new members produced by the campaign, 243 already belonged to the SOA. See New Academy members, Page 6
Inside New Direction Grimes joins staff as membership director. . . PAGE 2 Medicare Aid Part D practice note exposed. . . . . . . . . . . . . PAGE 4 Worldwide Webcast Global ERM best practices presented . . . . PAGE 4 Behind the Scenes FRAT Force tackles PPA reform. . . . . . . . . . . . . . PAGE 5 Congress Calls Gebhardtsbauer accepts Senate’s offer. . . . . . . . . . PAGE 5
Renewing His Professional Vows Kellison Bookends ASB’s 20th Anniversary
n 1988, the year the Actuarial Standards Board (ASB) launched itself onto the national actuarial scene, Steve Kellison (temporarily) took an intermission from it. After 12 years as the Academy’s executive director, which had included presiding over the ASB’s interim creation in 1985 and official formation three years later, Kellison embarked on a career change to teach actuarial science at Georgia State University in Atlanta. Now, 20 years after parting ways, Kellison and the ASB finally caught up with each other when Kellison began his two-year term as ASB chairman at the start of this year. The former executive director, now an independent consultant and a visiting professor at the University of Central Florida in Orlando, brings a variety of perspectives to the ASB. Besides running Academy operations from 1976 to 1988, he has worked two different dips in the
life insurance industry, has served in actuarial academia as a textbook author and professor at three different universiSee ASB, Page 8
Calendar February 6 Roundtable on public pension plans (Academy, SOA), New York 10-12 ASPPA 2008 401(k) Summit, Orlando, Fla.
14-16 North American Actuarial Council meeting, San Cristobal, Mexico
28-March 2 NCOIL spring meeting,
March 5-7 ASB meeting, Washington 6-7 Health Practice Council Capitol Hill visits, Washington
16-19 Eighth annual intercompany LTCI conference, Jacksonville, Fla.
17-18 CAS ratemaking seminar, Boston 25-26 SOA investment symposium, New York 28-April 1 NAIC spring meeting, Orlando, Fla.
April 6-9 Enrolled Actuaries Meeting (Academy, CCA), Washington
14-16 SOA enterprise risk management symposium, Chicago
22 Academy Executive Committee meeting, Washington
22-26 NCSL Spring Forum, Washington
May 20 CUSP meeting, Washington 21 Academy Board of Directors meeting, Washington
31-June 3 NAIC summer meeting, San Francisco
Academy News Briefs Grimes to Direct Membership Services
n January, Joe Grimes
became the Academy’s first director of membership services, completing the restructuring of the Academy’s membership department. Grimes comes to the Academy from the International Public Management Association for Human Resources, where he was director of membership and communications. All told, Grimes has over 15 years of experience as a mem- Joe Grimes bership director. “We were overdue for establishing a highlevel position on the Academy staff with responsibility for membership and related services,” Academy Executive Director Kevin Cronin said. “Fortunately for us and for our members, we were able to hire someone of Joe’s broad background and experience.” Though membership services previously reported to the communications director, improvements in the Academy’s information technology and membership database prompted the creation of its own department, which will report directly to the executive
director. Grimes’ responsibilities include the strategic direction and management of membership development, recruitment, and retention. Grimes’ background includes serving as membership director for the ERISA Industry Committee (ERIC). While at ERIC, Grimes said, he became familiar with the Academy’s work through members who belonged to both associations. “The Academy has a great reputation for being an organization that represents the needs of the members,” Grimes said. “I’m looking forward to working with all the members of the Academy to develop programs and services that will benefit them. I’m eager to help the Academy grow and make it stronger.” Grimes, a native of northeastern Pennsylvania, has lived in the Washington area since attending the University of Maryland, where he earned a bachelor’s degree in business management in 1987.
11-14 IAA meeting, Quebec City 18-20 CIA annual meeting, Quebec City
New Yearbook Enclosed
JULY 17-19 NAAC meeting, Banff, Alberta, Canada
AUGUST 5 Leadership meeting, Washington 6 Executive Committee meeting, Washington
October 2-4 NAAC meeting, Sedona, Ariz. 5 CUSP meeting, Phoenix 6 Joint Orientation for U.S. Boards, Sedona, Ariz.
7 Academy Board of Directors meeting, Phoenix
November 1-4 IAA meeting, Limassol, Cyprus
Links to documents underlined in blue are included in the online version of this issue at www.actuary.org/update/index.asp
with this issue of the Update is your copy of the Academy’s 2008 Yearbook, the annual manual for Academy information, such as its purpose, organization, leadership, awards, and meetings. Even a casual read will reveal the scope of the Academy’s extensive reach on topics of interest to all actuaries. You will also find the names of appropriate Academy staff to contact if you are interested in volunteering on any of the wide variety of committees and task forces the Academy supports.
Inc., a Washington-area executive recruiting firm, as it searches for the successor for Executive Director Kevin Cronin, who will retire from full-time employment at the end of March. The firm has assisted the Academy with searches in the past. Fellow Countryman At its
January meeting, the Academy Board of Directors voted to add a senior international fellow to the staff. For more information about the position, you can contact Gail Ingram (email@example.com). Presentation Postponed The
Recruiting Firm The Acad-
emy has employed the help of JDG Associates
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Academy’s Robert J. Myers Public Service Award will be presented at the annual
meeting this fall, along with the Jarvis Farley Service Award. Previously the Academy gave out the award at its spring meeting, which will not occur this year. in the news
Remarks by members of the Academy’s Life Practice Council at a conference on Solvency II and risk management in Brussels, Belgium, were included in a December 2007 Life & Pensions (U.K.) article. The story reported on efforts by the National Association of Insurance Commissioners and the Academy to establish a principles-based approach to insurance regu-
lation in the United States. Academy member Dave Sandberg, a vice president and corporate actuary with Allianz Life Insurance Co. of North America in Minneapolis, and Academy board member Larry Bruning, the chief actuary of the Kansas Insurance Department, presented background on U.S. life insurance regulatory reforms for the European audience. The Academy’s Senior Pension Fellow Ron Gebhardtsbauer was quoted in the Dec. 10 issue of BusinessWeek. Gebhardtsbauer said that because of the way benefits are typically calculated, older employees usually favor defined benefit pension plans.
The number of Academy members outside the United States, as of Dec. 31, 2007
Donna Claire, chairper-
son of the Academy’s Risk Management and Financial Soundness Committee and president of Claire Thinking in Fort Salonga, N.Y., was quoted in a Dec. 10 National Underwriter Life & Health article on preparations to finish revising the standard valuation law and accompanying valuation manual. Claire said she is optimistic about the project despite uncertainty as to how the Treasury Department will address tax questions. The Academy’s Senior Health Fellow Cori Uccello authored an op-ed that was published in the Dec. 3 Manchester, N.H., Union Leader. Uccello questioned the lack of dialogue among
presidential candidates to address Medicare’s financial problems. “Candidates need to break the silence, acknowledge the problem, and begin a public dialogue that addresses the trade-offs necessary to ensure Medicare’s future,” she said. The commentary was placed prior to New Hampshire’s presidential primary, the first of the election season. A Dec. 18 Bloomberg article referred to the Academy’s nearly $800 billion estimate for insured losses stemming from a potential large nuclear, chemical, biological, or radiological terrorist attack in New York City. The article, also published in the Dec. 19 Hartford Courant, reported on the U.S. House
Europe—117 Andorra—1 Ireland—2 Denmark—1 Monaco—2 France—4 Netherlands—9 Germany—6 Sweden—1 Greece—5 Switzerland—16 Iceland—1 United Kingdom—69
Middle East—10 Israel—6 Saudi Arabia—1 Turkey—1 United Arab Emirates—2 caribbean—93 Bahamas—1 Bermuda—83 Jamaica—5 Puerto Rico—3 British West Indies—1
north America—243 Canada—239 Mexico—4
south America—2 Brazil—1 Columbia—1
of Representatives’ decision to extend the federal terrorism insurance program for seven years. The Academy’s Social Security Game was mentioned in several articles in December including one in the Dallas Morning News on Dec. 12 and in Newsday on Dec. 22. On The Move
® Francis Sabatini is now a private consultant in Hartford, Conn. He was previously a principal for Ernst & Young. ® Edward Baum is now first vice president, actuarial, and pricing actuary for Countrywide Insurance in Irvine, Calif. He was previously a senior actuary for Mercury Insurance in Brea, Calif.
asia/Pacific— 160 China—32 Hong Kong—29 India—2 Indonesia—2 Japan—23 Malaysia—5 Pakistan—1 Phillipines—3 Singapore—3 South Korea—19 Taiwan—38 Thailand—3
AFRICA—7 Egypt—1 Senegal—1 South Africa—5
Down under—10 Australia——9 New Zealand—1
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Medicare Practice Note Released
ust before the year’s end,
a subgroup of the Health Practice Financial Reporting Committee exposed for public comment a new practice note on Medicare Part D accounting issues for the actuarial profession. Located on the Academy website’s health page, the Academy’s Medicare Part D Subgroup’s draft practice note will be available for review through mid-February. Building upon the experiences and questions of the subgroup’s members, the practice note describes some of the current valuation, accounting, and financial reporting practices for Medicare Part D products used by U.S. health actuaries in 2007. Drawing from current regulation and methodology, the draft practice note is meant to represent the views of actuaries in industry consulting and public accounting firms who are involved in issuing actuarial opinions relating to balances recorded by U.S. health insurance companies for Medicare Part D products. Utilizing a Q-and-A format, the practice note covers a range of topics, including Part D’s reinsurance demonstration program,
operation aspects, risk-sharing programs, and the impact of pharmaceutical rebates. Also included is a glossary of common terms and acronyms that are used throughout the practice note. The members of the subgroup responsible for drafting the practice note include: Chairperson Darrell Knapp, Rowen Bell, Brian Collender, Troy Filipek, Jim Galasso, Harry Hotchkiss, J. Patrick Kinney, Barbara Lawson, Timothy Meyers, Rob Pipich, and Russ Willard. The subgroup would also like to thank Bob Coons, Karen Levine, and Mike Koeberlein from Humana for their assistance in the project. The subgroup invites all actuaries and interested parties to review and comment on the draft practice note. The public exposure period will close on Feb. 15, after which a final version will be available. Comments can be sent electronically to StateHealthAnalyst@actuary.org or via conventional mail (American Academy of Actuaries, Geralyn Trujillo, 1100 17th Street N.W., 7th Floor, Washington, D.C., 20036). —Geralyn Trujillo
risk management and financial reporting news
Global ERM Webcast
the Society of Actuaries and the International Network of Actuarial Risk Managers broadcast a webcast on global best practices in enterprise risk management (ERM) for insurers and reinsurers. The webcast presented ERM practices specific to three global regions, with each region — Asia/Pacific, Europe, and the Americas — having speakers to present its perspective. The webcast highlighted actuarial contributions to ERM with an eye toward encouraging dialogue between actuaries and non-actuaries. The webcast was comprised of two session tracks. The first included four pre-recorded sessions: embedding ERM within the organization, economic capital, managing emerging risks, and setting risk appetite. The second track featured live sessions of various speakers from each region discussing their ERM perspectives on stakeholder views, active risk controls, embedding ERM within the organization, and economic capital. Presenting on behalf of the Academy’s ERM Task Force were Ronald Harasym, David Ingram, Dave Sandberg, and Chairperson Max Rudolph. Patricia Matson, chairperson of the Life Financial Reporting Committee, and Marc Slutzky, memn Jan. 15-16,
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ber of the Financial Reporting Committee, also presented. The entire webcast ran continuously from 10 p.m. EST on Jan. 15 to 2 p.m. EST Jan. 16 with the American focus running from 9 a.m. EST on Jan. 16 until the end of the webcast. —Tina Getachew
Risk Management and financial reporting Briefs ➤ Richard Goldfarb, senior manager with Ernst & Young in New York, and Patricia Matson, senior manager and consulting actuary with Deloitte Consulting in Hartford, Conn., have joined the Risk Management and Financial Reporting Council. ➤ Francis Sabatini, a consultant in Hartford, Conn., and Matthew Lantz, an actuary with AEGON USA Inc. in Cedar Rapids, Iowa, have joined the Solvency and Risk Management Task Force.
life Briefs ➤ Richard Murphy, a consultant for Fidelity Investments Life Insurance in Boston, has joined the Academy’s Annuity Reserves Work Group.
On the Road
as Academy senior pension fellow meeting with federal policymakers, responding to media requests, and testifying before Congress—anything he could do to reach out to the people responsible for driving U.S. pension policy. So when the Senate Finance Committee offered him the chance to get behind the wheel, he couldn’t refuse. Effective Feb. 12, Gebhardtsbauer is the Finance Committee’s new senior benefits adviser, where he will help the committee write U.S. pension law, as well as form policy for employee benefits and related tax issues. “It’s going to be difficult to leave this job because I’ve loved it from the very beginning,” said Gebhardtsbauer, who has turned down a number of job offers since he started at the Academy in May 1996. “Even though I still very much love my job here, I feel it’s important for the profession and for pensions for me to go and work on Capitol Hill, where I can have more influence on creating good pension policy.” Gebhardtsbauer had worked for the federal government twice before coming to the Academy. He was the lead pension actuary from 1982 to 1986 for the Office of Personnel Management’s Federal Employee Retirement System, where he led an overhaul of the pension plans for all federal employees, and the chief actuary of the Pension Benefit Guaranty Corp. from 1986 to 1994. Craig Hanna, the Academy’s director of public policy, thanked Gebhardtsbauer for providing an “invaluable service” during his tenure, “raising the profile of the profession at large.” After becoming the Academy’s senior policy fellow over a on Gebhardtsbauer has spent the past 12 years
decade ago, Gebhardtsbauer has been a face of the Academy, serving as a spokesperson and go-to source on pension and Social Security issues for reporters from all over the country. He thinks actuaries are now more involved in the activities of the nation’s capital than ever before. After seeing the positive results made by the senior pension fellow position, the Academy hired its first senior health fellow in 1998, a position now held by Cori Uccello. The Academy is also interviewing for a senior life fellow, and the Board of Directors approved adding an international fellow to the staff at its January meeting. Now, it has to fill the pension shoes left by Gebhardtsbauer, who was also heavily involved in leading the profession’s international work over the past two years. “We are moving as quickly as possible to find the most capable senior fellow who can hit the ground running and continue the work that Ron has initiated—and to enhance that profile according to the new strategic directions of the Pension Practice Council,” Hanna said. He added that the Academy hopes to be able to replace the position in the next couple months. As the Senate Finance Committee’s senior benefits adviser, Gebhardtsbauer looks forward to working with the new senior pension fellow and Academy volunteers. “I hope my friends in the actuarial community will continue to help me formulate good pension policy,” he said, “because I will need all their help—all the help I can get.”
FRAT Force Keeps Close Eye on PPA
lthough it has been over a year since the Pension
Protection Act of 2006 was passed, the Funding Reform Advisory Task Force is still working hard to ensure that the legislation is translated into regulatory guidance that is comprehensive and easily applicable. And the group’s hard work has not gone unnoticed. The Department of the Treasury’s Benefits Tax Counsel has publicly acknowledged the efforts of the task force, including, in one instance, at the 2007 Enrolled Actuaries Meeting. While it is not an Academy-sponsored group, the task force is chaired by Donald Segal, former Academy vice president for pension issues, and includes a cross section of actuaries, attorneys, and other benefits experts. Its primary goal has been to w w w. a c t u a r y. o r g
identify issues that need to be addressed through regulation and provide input to the appropriate government agencies. “We share a common goal,” Segal says. “That is, we want guidance that works. By creating this task force, we’ve created a win-win situation. The agencies get input from experts in the benefits area, and we get regulations we can deal with.” In the past 12 months, the task force has submitted comments to various governmental agencies on plan terminations, the prohibition on accelerated payments, use of an actuarial asset method for determining funded status and contribution requirements, benefit-restriction triggers, issues related to the determination of a corporate bond yield curve, lookback funding measures, and technical correc-
tions to the legislation. According to Segal, however, the work of the task force is not yet finished. Upcoming projects include an examination of benefit restriction rules, measurement of liabilities, and valuation of deferred lump sums using the yield curve. The task force also plans to provide input on areas that still need guidance, including annuity conversion under hybrid plans, definition of applicable defined benefit plans, and market rate of returns. In addition to comment letters, the group continues to meet with agency representatives to discuss input on and concerns with proposed guidance. More information on the task force and the comment letters it has submitted can be found online at http://fratforce. googlepages.com. —Heather Jerbi
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New Academy Members
N the second half of 2007, 645 new members joined the Academy. By joining, they have demonstrated a commitment to ethical and responsible actuarial conduct and an interest in keeping up with the issues and events that shape their profession. And they are in good company. As of Dec. 31, the Academy boasted 15,932 Academy members on its rolls.
Joe Aadland James M. Abbott Shawn Adams Keith P. Allen David J. Allgrunn Bryan Amburn Richard P. Anderton Bradley J. Andrekus Mike Andring Antonis Antoniou Fritzie Archuleta Carolina V. Arias Megan L. Astudillo Eric Atwater Yanfei Atwell Danielle J. Aufiero Tatcha Ayana Rory J. Badura Nathan J. Baehr Jeffrey C. Baker Kyle Bang Michael W. Banis III Janet Barr Kim M. Basco Mark Bean David R. Beasley Theresa Becker Rebecca Bees Jeffrey Bellmont Stuart J. Bennett Tara Benson David A. Berkowitz Keith R. Berman Zahir Bhanji Yongyi Bi Geoffrey Bird Justin Birrell Mariano R. Blanco Nick Blitterswyk Karin L. Boehlke JoAnn Bogolin Karoline Bootsma Alex Borress Tiffany A. Bosley Yefim Botvinnik Kimberly A. Boxell Mandy L. Bratten Kristin M. Braun Kirk P. Braunius Jeffrey Bresson Michelle A. Brown James W. Brown Graham Bryce Sara Buchheim Donald Bungenstock Kevin Burke Sean K. Burtt R Keith Butterfield Jr. Feiyang Cai Rosson Cain Laura Camisa Mary P. Campbell Kathryn A. Campbell David R. Cantor Michael Carse
Jill Casey Chris Catlett Colin Chan Manchiu Chan Ting H. Chan Annie Chang David T. Chang Hungchi A. Chang Leslie M. Chang Kezia C. Charles Jialan Chen Liangzhong Chen Yi-Chieh J. Chen Henrietta Cheng Steven Y. Cheung Tracy Child Jung N. Cho Jason Choi John Chong Marie Choquette Cindy Chou Eric A. Christensen Eric Christman Craig T. Chu Hui Chu Dale M. Chudnow Alice Chui Quinnie H. Chung Chris W. Churchill Jennifer Churchill Mason A. Churchill Jason A. Clark Adrian Clark Kevin M. Cloud Angela Cobble Nicholas J. Coleman Karen M. Commons Amy M. Conoscenti Andrea Constantinos Julia Cooper Cameron Copa Kimberly A. Corona Alex Cowley Michelle Cramer Thomas Crice Jason J. Culp Brian A. Dailey Pratibha Damle Gregory L. Daniel Wesley S. Daughtry Andrea N. Davenport Keri P. Davenport Bradley J. Davis Joshua Davis Brendan H. Deal Alden V. De La Rosa Demosthenis Demosthenous Sivakumar Desai Matthew Desfosses Pamela M. Devling Jennifer DeVree Mark Dickinson Gabriela C. Dieguez Elizabeth J. Dill Xiaoping Ding
Jiangxia Dong Scott Donoho Kirt M. Dooley Peter D’Orsi Brian K. Dowdall Michelle Dubois Tehya R. Duckworth Dennis DuLaney Paul M. Duling Rebecca Dunlap Stephen E. Dupon Dustin Dusek Kara M. Dusterhoft Mathew Eberhardt Roderick F. Ebert Mark P. Eldridge Barbara Emig Anthony Enk Charles W. Erickson Mojisola S. Esho Jill Esser Matthew G. Evans Elise Falk Jenna L. Fariss Joseph Farrell Jody Fast Paul Fedchak Meryl A. Feigenbaum Linda M. Ferreira Jacob C. Fetzer Randall T. Fitzpatrick Timothy J. Fitzpatrick John S. Flattum Matthew L. Fleischman Lic-Tieng Foo Andrew C. Forgrave Abigail S. Fortino Lisa Foster Darren French Yan Lap J. Fung Anne Gaffey Suzanne Gallagher Keith L. Galloway Corin Garbe William Garber Scott Garduno Carol A. Garney Timothy M. Gasaatura Jason Gay Deanna Gee Chris Geerts Laszlo Gere Gary J. Gesink Carl Ghiselli Courtney S. Gibbons Valerie Gingras Cary Ginter Mark A. Glasser Craig Glyde Kasi Golden Jason S. Goldstein Sean E. Gonzalez Missy Gordon Victoria Gordon Duane E. Grabber
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Jennifer L. Grant Paulette Grausnick Neil Greiner Mark Greutman Jonathan Gross Ling Gu Mario H. Guajardo Qunying Guan Manuel Guerra Michael Guerriere Miro Guzvica Kim N. Ha Vincent Ha Theodore Haard Elisha D. Hack Mark Hadley Benjamin P. Hagan John Hageman Luke Hampton Katherine Hanisco John C. Hanna Jr. Seth P. Harlow Mary A. Hart Raza Hasan James Healey Curtis Heaser James M. Hechler Vanessa Hecht Paul D. Herzog Kimberley Hiemenz Catherine Ho Jonathan P. Hobbs Jeffrey Hocking Aaron Hodges Marlin W. Hoeppner Erika Holmes Benjamin D. Holt Jonathan K. Hong Tim W. Hooker Sarah Hoover Scott Hornyak Jacqueline B. Horstmann Marcus Howell Jia Hu Jun Hu Wei-ning H. Hu Xiaoping Hu Yanhui Huang Ying Huang Yu Huang Fei Hui Kathryn M. Hunter Robert P. Hunter Rui Huo Paul Hurd Frederick Hyland Maria Ilea Wes Imel Robert C. Ipsen Jason J. Jackson Nicholas Jacobi Emily Janke Shi Ji Xiang Ji Jiaming H. Jiang
Yong Jiang Xijuan Jiang Xin Jiang Erik Johansson Antonio D. Johnson Caleb Johnson Chad Johnson Chris S. Johnson Dwane Johnson Richard D. Johnson David Jonovic Robert L. Jordan Jacob D. Joubert Lisa K. Juday Susan Judd Donald A. Junt Todd D. Kanaster Brian Kane Sara V. Kaufman Laura M. Kelly Maggie Kendrick David B. Kent Matthew A. Kersting Chad A. Keuneke Ali Khan Jeff Kimble Melissa King Reid Kinney Jim Klann Bruce J. Klug Samantha Knackmuhs Pak Ko Inna Kogan Sook H. Koh Koji Kondo Brad Kopcha Anthony T. Kovac Barry Kozak Amanda Brooke Kross Heidi Kruck Charles E. Kuhn Shawn S. Kunkel Hoi Yan Kwan Jeffrey Laitinen Carmen Lam Felicite Lamb Susan M. Lamb Stephen Lambert-Oswald Shannon M. Landry Michael J. Lane Christopher Lanza Christian Lassonde Alexander J. Laurie Benjamin M. Law Trevor Lawrence Jeff Lazcano Deborah Lee Donna M. Lee Kuanhui Lee Pauline Y. Lee Shirley Lee Thomas Lee Igor Lempert James T. Lescoe Heidi Leuthner
Richard B. Levy David Lewis Bo Li Dan Li Kexin Li Lepeng Li Yong Li Zhi Li Congrong Liao Curtis J. Lichtensteiger Joseph S. Lim Anna Y. Lin Lin Lin Reng Lin Xianhui Lin Michael E. Lipsey Holly Litrenta Jingmin Liu Shuo Liu Wen K. Liu Millie Lo Dustin J. Loeffler Casey M. Long R. Andrew Love III Jie M. Lu Leining Lu Wei Lu Amanda C. Lubking Michael Lundquist Huajun Ma Brian Magnotta Elise Maguire Sanjay M. Mahboobani Alexey Makarov Kamran A. Malik Vitaly Malinkovich Becky Malsom Chaim Markowitz Tsimafei Maroz Jennifer Marquino Clarke Marrin Tami Marshall Derek M. Martisus Amy M. Massaro Jason M. Mathews Sara B. Mathews Thomas B. Matthew Michael A. Mattila Jeffrey Mazzapica Rebecca McCarrier Katie Mccarthy Joseph N. McDonald Michael McDonald Afif McGlamry William E. McGuire Mitzi McLean Kathryn McNally Donald C. Mcshane William Mehilos Ryan T. Mellott Daniel Messner Elizabeth Millard Francois Millard Stephanie A. Miller Rui Min
Takehiro Misawa Jody Mistal Geoffrey Moak Joel S. Moore Ryan C. Moore David Moralis Isabelle Morin Edward P. Morris Erick Mortenson Justin Mosbo Ashlee C. Mouton James R. Murray Katherine Musler Rick A. Nakayama Veltcho Natchev David A. Neiman Moshe N. Nelkin Andre Nguyen Tristan S. Nguyen Carly Nichols Fangyi Nie Russell W. Niswander Jennifer Nitkowski Thomas P. Nolan Sandra Nordstrom Nicole Novotny Pablo Nunez Thulani E. Nxumalo Shane Oakleaf Jeffrey M. Oberle Dawn M. Ochoa Adam Ockman Karen Oliver Amiee O’Maley Brian O’Meara Guan Ting Ong Su May Ong Chris Onken Sarah Osborne Christopher N. Otterman David C. Padget John F. Pagano Kristin M. Palm Jeongeun Park Bradley J. Parker Joshua Parker Dakshesh D. Parlikar Marcella Paulakis Michael W. Payne James Pearson Aaron Pedowitz Scott Pemberton John Pemble Thomas E. Persichetti Brooke A. Peterson Mark H. Peterson Joseph A. Petrovic Lisa A. Pfautz Jeffrey J. Pfluger Robert Phipps Pierre R. Pierre Mark Pingree Bradley Piper Amanda B. Platte Robert Plesha
Chris A. Plucar Paul L. Pocock Scott B. Pollack Erik Poppe Jonathan D. Powell Emily J. Prawalsky Jonathan Prince Joshua P. Pulver Mandy Rabouin Francis Radnoti Rachel Radoff Nathalie Rahman Martin Ramsey Christine Randazzo Nicholas J. Ranson Sharada Rao Benjamin Rayburn Emily J. Redder Ryan K. Richey Bradford L. Rigby Michelle K. Rigby Brian Ritchie Bruce A. Ritter Stacey Roach Stanley T. Roberts Scott Robidoux Lynn R. Robinson Juan C. Rodriguez John O. Rogers Bryce Rosel David G. Ross David L. Ross Brian C. Rudi James D. Ryan Paul Sadro Makhmud M. Sagandykov Olga V. Samoilova Kirsten R. Schatten Doris Y. Schirmacher Ernesto Schirmacher Chad Schlippert David Schraub Jonathan M. Schreck Monica Schroeter David P. Schultz Ryan Schultz Jason Sciborski Kale Sears David Seigel Satyaki Sen Tomasz Serbinowski Adam G. Sery Mandy M. Seto Susan L. Sexton Aaron Shapiro Craig Sharf Maureen Shaughnessy Jolie Shaul David Shearer Clista E. Sheker Yang Shen Khristina M. Shields Elizabeth B. Shumaker Matthew F. Sicilia Derek W. Sickman
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Jason Siegel Alan J. Silver Daniel D. Sim Robert Simmons Clarissa A. Simpson Amanda Singer Steven Siow Scott Skansberg Joel M. Smerchek Brandon Smith Lisa Smith Renée N. Smith Jared Smollik Christopher Snell Becca Sniderman Tiffany So Jiyang Song Li Song Robert A. Spilios David Stablein Jennifer L. Stadelman Crystal Stalling Brian P. Starnes Sara Steen Charles D. Steingas Ian P. Sterling Jenny Stevens Ryan Stevens Eric J. Stewart Jason Stolte Simon W. Stronkhorst Martha S. Stroud Mark S. Struck Bin Sun Hannah Sun Qing Sun Brooke Swanson Oleg V. Sydyak Brian B. Tajlili Xiaoyin D. Tang Sharon Tchinnis Michael Tessler Courtney Thatcher Dawn Thayer Ryan M. Thomas Ricardo Trachtman April Truebe Robert Tucker Sylvia Twardowski Alexandre Tzenev Alexander Ungerer Christine Valdez Alan Vanevenhoven W. Dennis Van Hise Marina Vaninsky Maria S. Vargas Thomas W. Vasey Kenneth Vetter Alexander Vojta Jason L. Von Bergen Alissa Vreman Douglas R. Vrooman Sanja Vujic Benjamin S. Wadsley Rosaline L. Waguespack
Benjamin J. Walker Christine L. Wallach Andrea S. Walsh Jeffrey S. Walton Qian Wan Jun Wang Ning Wang Wilson Wang Yingnian Wang Peter R. Wegielnik Kenneth L. Weingart Jason C. Wells Patrick Welti David Wicklund Troy W. Wieck Adrienne Williams Cameron Williams L. Alicia Williams Erica M. Wilson Matthew Wilson Christopher Wittemann Lisa Won Hei M. Wong Yue Kei Wong Stephen K. Woodard Dana L. Woolfrey Sheryl Wroblewski Zhikun Wu Junfeng Wu Kelvin G. Wursten Li Xiao Xiaoyun Xie Mu Xiong Zhijian Xiong Linxia Xiong Jianhang Xu Teng Xu Zhiliang Xu Qing Xue Wenjie Xue Scott M. Yan Edward Yen Andrew Yershov Wendy Y. Yu Zhaohui Yu Olga Yurchenko Eugenia Zakharov Lisa Zalota Chunjing Zhang Lilin Zhang Rui Zhang Hongyu Zhao Shaozhen Zhou Mei Zhu Erin M. Zink Dotan Ziv Nicholas Zornosa Lu Zou Larysa Zubach Michael Zurek
➤ Amy Bouska, an actuary with Towers Perrin in Minneapolis, Steve Visner, a principal with Deloitte Consulting in New York, and John Kollar, a vice president for Insurance Services Office Inc. in Jersey City, N.J., have joined the Academy’s Casualty Practice Council. ➤ Joining the Academy’s Workers’ Compensation Subcommittee are Andrew Doll, vice president and chief actuary for commercial business for Fireman’s Fund Insurance Co. in Novato, Calif.; Vahan Mahdasian, assistant director and actuary for Aon Global Risk Consulting in Boston; Julia Stenberg, second vice president and actuary for Travelers Insurance in Hartford, Conn.; Michael Williams, an actuary with Sentry Insurance Group in Stevens Point, Wis.; and Dave Heppen, senior manager for Deloitte Consulting in Philadelphia. ➤ Joining the Academy’s P/C Extreme Events Committee and Natural Catastrophe Subcommittee are Victoria Gomez, assistant vice president for ACE Tempest Re USA Inc. in Stamford, Conn.; Mark Homan, assistant vice president and actuary for corporate research at The Hartford Insurance Group in Hartford, Conn.; Larry Haefner, vice president and chief actuary with Travelers Insurance in Hartford, Conn.; Edward Baum, first vice president, actuarial, and pricing actuary for Countrywide Insurance in Irvine, Calif.; James Murphy, actuary for the Texas Windstorm Insurance Association in Austin, Texas; and Wanchin Chou, assistant vice president, international, and an actuary for Liberty International in Boston. William Dove, chief operating officer and chief actuary for Brandywine Group Holdings in Philadelphia, has also joined the Academy’s P/C Extreme Events Committee. ➤ Joining the Academy’s Mass Torts Subcommittee are Tom Toce, vice president and chief actuary for Alan Gray Inc. in New York, Rita Zona, principal for Deloitte Consulting in Chicago, and Robert Thomas, a vice president with The Hartford Insurance Group in Hartford, Conn. ➤ Mary D. Miller, assistant director for the Ohio Department of Insurance in Columbus, and Joanne Spalla, a consulting actuary in Connecticut, have joined the P/C Financial Soundness/Risk Management Committee.
Pension Briefs ➤ Joining the Academy’s Public Plans Subcommittee is William Fornia, senior vice president with Aon Consulting in Denver.
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Other new ASB members
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ties, and has privately consulted in the actuarial field for several years. He was also the Society of Actuaries president from 2004 to 2005. “Life has a funny way of presenting options along the way,” he said in an interview with the Update. And few have exercised those options as effectively as Kellison, who, all told, has changed career directions six times. To him, it’s all the better preparation for his new role. “The fact that I have held a number of diverse positions with a number of different employers gives me a broad perspective on standards in a variety of situations and practice areas,” Kellison said. Part of that perspective is his unique position of watching the evolution of the ASB from its incipient stages, which produced anxiety over the future of actuarial standards, to the present. Celebrating its 20th birthday this year, the ASB is in robust health as it now has 44 actuarial standards of practice, many of which have been updated at least once. “In 1988, there were some actuaries skeptical of where we were headed,” Kellison says. “Given that starting point, I’d say the last 20 years have proven pretty successful.” Though Kellison doesn’t bring an agenda of dramatic change, he is quick to point out that there are still current and future challenges that the ASB needs to meet. “I think standards are particularly important today in the financial services industry after some of the lapses at Enron and all the other debacles right up to the subprime mortgage problem,” he said. “The public is less trusting of professionals than they used to be. It’s imperative to maintain the kind of public credibility that we’d like to have, and it’s strongly in the public interest.” As an organization representing the standards
James Murphy, health representative ➤ senior vice president and chief actuary at American Community Mutual Insurance ➤ former Academy executive director and vice president ➤ former SOA vice president
of the entire profession, Kellison says he is sensitive to the ability of the ASB to write standards that cut across all practice areas. “It does help call attention to the public’s mind that we really are one profession, and there’s much more similarity to what we do in different practice areas than there are differences,” he said. Similarly, Kellison said that when the ASB writes standards, it needs to continue seeking the proper balance between the flexibility of “motherhood and apple pie” (i.e., general concepts) and the accountability of “writing a cookbook” (i.e., precise details). “We’re writing standards involving work for professionals, the nature of which involves future uncertainty,” he said. “It’s not quite the same thing as writing standards in a lot of fields that don’t have to wait 20 years to see how it works out.” With an eye to the future, on Jan. 24-25 at a special strategic planning session, the ASB took a step back from its everyday work to look at the direction the board sees itself headed and to outline its own strategic plan. “In the biggest picture possible, we’re going to build on what we already have—strengthen it, improve it, get it more meaningful to the membership, and move it forward,” he said. “I think we’re doing a fine job right now. We just need to keep it going and continue to do it better.”
Steve Kellison ➤ Is a native of Nebraska, who currently lives in Orlando, Fla. ➤ Is married to his wife, Toni. They have two children, Matthew, 17, and Alexandra, 16. ➤ Received an undergraduate degree in economics and a master’s degree in actuarial science at the
University of Nebraska-Lincoln. ➤ Is a member of the Academy, fellow of the Society of Actuaries (SOA), and an enrolled actuary. He is a
certified but non-practicing financial planner. ➤ Was the first executive director of the Academy’s Washington office, serving in that position from
1976 to 1988. He was also president of the Society of Actuaries from 2004 to 2005 and has served in a variety of volunteer assignments for the Academy and SOA, including a post as the chairman of the ASB’s General Committee. He is currently a member of the Academy’s Council on Professionalism. ➤ Enjoys piloting private airplanes in his spare time.
Patrick Grannan, casualty representative ➤ CEO of Milliman ➤ f ormer Academy board member ➤ former president and board chairman of the CAS
A c t u a r i a l U p d at e F e b r u a r y 2 0 0 8
I n 1988, the year the Actuarial Standards KellIson booKends Asb’s 20th AnnIversAry New Direction Grimes joins staff as membership director...