Upload File

cpp funding update - wespath vs. typical programs • previous actuarial studies have established...

  • Home
  • Documents
  • CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%
18
Caring For Those Who Serve CPP Funding Update AUMCPBO Meeting October 27, 2010

Upload: lebao

Post on 16-Apr-2018

217 views

Category:

Documents


3 download

Report

TRANSCRIPT

Page 1: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Caring For Those Who Serve

CPP Funding UpdateAUMCPBO MeetingOctober 27, 2010

Page 2: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Comprehensive Protection Plan(CPP) Risk Management Metrics

• Brief Benefit Overview

• Premium Ratio

• Reserve Metrics■ Target

■ Minimum

■ Rate Action

J

Page 3: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

CPP Benefits: Disability

Payable Upon Disability

While Premiums Are Paid

After Premiums

CeaseDisability income X

CRSP-DC contributions X

J

Page 4: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

CPP Benefits: Death of Clergy

Payable Upon Death of Clergy

While Premiums Are

Paid

After Premiums

CeaseLump sum benefit:

Active/disabled clergy death X

Retired clergy death X

Annuity benefits:

Minimum survivor’s pension X

Child income X

Child education X

J

Page 5: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

CPP Benefits: Death of Family

Payable Upon

While Premiums Are

Paid

After Premiums

CeaseDeath of spouse of:

Active/disabled clergy X

Retired clergy X

Deceased clergy X

Death of child of:

Active/disabled clergy X

Retired clergy X

Deceased clergy X

J

Page 6: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

CPP vs. Typical Programs

• CPP provides far greater coverage than the typical life and disability program both in terms of the type of benefits provided and the guaranteed coverage of spouses and children.

• Another unique feature of CPP is the long time horizon and process in effecting changes to either premiums or benefits.

• Benefits and premiums for most life and disability benefit programs at private plan sponsors are guaranteed only one year at a time.

T

Page 7: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

CPP vs. Typical Programs

• Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5% of compensation compared to the pre-holiday rate of 3%.

• While historical asset levels have enabled a recent premium holiday, this is not sustainable longer term.

• The future sustainability of current benefits and the 3% premium is highly contingent upon strong investment returns and conclusion of the premium holiday.

T

Page 8: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Premiums and Benefit Payments

* ProjectedL

Page 9: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Premium Ratio

• The portion of future benefit payments that future premiums are expected to cover

• If less than 100%, CPP contributions will not be enough to pay for benefits due from the plan

L

Page 10: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Premium Ratio

Without Holiday

With Holiday

L

Page 11: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Minimum Reserve Metric

• The shortfall between expected future benefit payments and expected future premiums

• Compare to current assets

T

Page 12: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Minimum Reserve Illustration

Future Benefits

T

Page 13: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Minimum Reserve

Future Contributions

Minimum Reserve Illustration

Future Benefits

T

Page 14: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Target Reserve Metric

• CPP is likely to endure* most market outcomes over the next 6-7 years

• 175% of Minimum Reserve

• Compare to current assets

* To maintain assets above Minimum Reservewithout adjusting either premiums or benefits

T

Page 15: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Rate Action Reserve Metric

• CPP is likely NOT to make ends meet over time

• Petition General Conference to raise premiums*, lower benefits, or both

• 80% of Minimum Reserve

• Compare to current assets

* General Conference action is required to raise premiums above 4.4% T

Page 16: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Assets and Reserve Metrics

Assets

Minimum

L

Page 17: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

Assets and Reserve Metrics

Assets

Target

MinimumRate Action

L

Page 18: CPP Funding Update - Wespath vs. Typical Programs • Previous actuarial studies have established that a market rate for the CPP program, starting new, would be approximately 4.5%

1-800-851-2201www.gbophb.org


CPP - Actuarial Solutions Inc. · The Canada Pension Plan is the joint responsibility of the federal and provincial governments. The CPP Act requires federal and provincial governments

NE Actuarial Club Actuarial modernization updaten-a-c.org/wp-content/uploads/NAC-Actuarial-Modernization... · 2019-04-30 · PwC | NE Actuarial Club –Actuarial modernization update

Future Actuarial Tools:Future Actuarial Tools: …iltciconf.org/2012/index_htm_files/09-FutureActuarialTools.pdfActuarial & Management Future Actuarial Tools:Future Actuarial Tools:

CPP 700-H CPP 1000-H

Actuarial Report CANADA PENSION PLAN 30 · Main Findings 30th CPP Actuarial Report Contributions BASE CPP ADDITIONAL CPP Legislated contribution rate of 9.9% for year 2019 and thereafter

Retire Later for Greater Benefits - Actuarial Solutions Inc. · 2019-04-15 · 1 According to the 27th Canada Pension Plan (CPP) Actuarial Report, the life expectancy for Canadians

ACTUARIAL REPORT 27 · 2020-04-15 · Since the 26th CPP Actuarial Report, there have been no amendments to the Canada Pension Plan that have had a significant impact on the actuarial

AnCon09 CPP

Wespath Analytical Insights—ESG Integration · Wespath Analytical Insights—ESG Integration Evaluating and Monitoring External Asset Manager Performance a division of Wespath Benefits

Cpp Essentials

Modificari cpp

Comprehensive Protection Plan - Wespath 1, 1982. Wespath (a general agency of The United Methodist Church) maintains the Comprehensive Protection Plan, more commonly known as CPP (Plan),

The Active Investing Decision · The Chief Actuary of Canada, in the 21st Actuarial Report on the Canada Pension Plan, has projected that the CPP contributions will exceed annual

In vitro comparison of microabrasion, CPP-ACP, CPP-ACFP

Wespath Investment Management Pitchbook - Wespath … · 2015-03-13 · Title: Wespath Investment Management Pitchbook Author: Sach Diwan Subject: Pitchbook Keywords: Wespath, Pitchbook,

Actuarial Definitions - Actuarial Standards Board

Efficacy of CPP-ACP and CPP-ACPF for Prevention and

TO: Emblez Longoria CPP, PSP - Chairperson CPP ... Recertification 12-31-09/ASI… · TO: Emblez Longoria CPP, PSP - Chairperson CPP Recertification Board Certification Office, Attn:

Cpp Matrix

Because talking - Wespath Benefits and Investments

2017 REPORT Clergy Well-Being Survey · 2 Wespath Benefits and Investments conducts Wespath surveyed 4,000 UMC clergy for this fourth cycle. The a biennial survey of The United Methodist

Actuarial Analysis Actuarial Analysis Actuarial Analysis Actuarial Analysis Actuarial ... · 2016-06-27 · Actuarial Analysis Actuarial Analysis Actuarial Analysis Actuarial Analysis

Cpp Fundamentals

Coordination Cpp

Exclusions as of 06/30/2018 Company Name Country ... - Wespath

WEBINAR—DECEMBER 2018 Plan Sponsor Update · Plan Sponsor Update . WEBINAR—DECEMBER 2018 . Wespath Benefits and Investments. 2 ... final mid-August . Wespath Benefits and Investments

wespath · not married at your death and you did not designate a Beneficiary or you r designated Beneficiaries are all deceased or cannot be located, then Wespath will pay your Account

ACTUARY - secure.michagent.org · Actuary, Actuarial Analyst, Pricing Actuary, Product Development Actuary, Actuarial Assistant, Actuarial Associate, Actuarial Consultant, Consulting

Actuarial Valuation of the Canada Pension The CPP includes virtually all members of the labour force in Canada, ... Child Death Source: Actuarial Report on the CPP as at 31 December

Wespath Investment Management Pitchbook

Operational and Actuarial Aspects of Takaful Actuarial Concepts and Actuarial Control Cycle

Cpp Tutorial

CPP Designation

NATIONAL VOLUNTEER PICTORIAL87 NATIONAL VOLUNTEER PICTORIAL Samuel W. Kerch, CPA, CPP Mark A. Kieffer Karen E. Klein, CPP Gail M. Koch, CPP Brian D. Koons, CPP Frances Kurlinski, CPP

Cpp Catalog