Secondary Guarantees – UL & VUL Products - Actuary.com

Methods Used to Manage the Financial Impact
of XXX and AXXX
• Other
– Use of alternate accounting methods to determine
whether or not the a policy with the secondary guarantee
truly adds value to the company.
• GAAP (incremental basis)
• PPM for Canadian companies
– OK as long as the company does an effective job of
managing statutory capital.
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