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Investments glossary

Underlying Mortality Assumption

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Quotes of the day:

a good tooth, gets no gold

— Severin Meiland

Underlying mortality assumptions are projections of expected death rates used by actuaries to estimate insurance premiums and pension obligations. This is based on mortality tables, which are statistical tables of expected annual mortality rates. Because of the critical importance of the underlying mortality assumption, actuaries have to follow guidelines set by pension and insurance regulators in deciding on an appropriate assumption.


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