CIA (e)Bulletin/(e)Bulletin de l'ICA

Canadian Institute of Actuaries/Institut canadien des actuaires

May 2016
Elliott Bauer
D.W. Simpson & Company
Eckler Ltd.
President's Update


By Rob Stapleford, FCIA
CIA President

To view the video version of this message, click here.

Hello everyone.

I am Rob Stapleford, President of the Canadian Institute of Actuaries.

The CIA Board has many important issues currently on its plate and there are a lot of projects that are in the final stages of completion ahead of our next Board meeting at the June Annual Meeting.

Bylaw Changes

I want to provide a further update on the proposed bylaw changes related to continuing professional development (CPD) and reporting criminal convictions. On CPD, the Board was impressed with the thoughtful comments provided by many members on the potential use of a non-practising designation. The Board gave these comments careful consideration and decided not to proceed with the proposed bylaw changes.

The CIA still faces an issue with respect to CPD and the significant use of exemptions. Our public expects and has a right to expect that the members of the CIA will actively take steps to remain current in their areas of practice. Our approach to reporting and monitoring CPD compliance needs to be modified and this need has not changed. The Board decided to form a task force that will work with the Eligibility and Education Council and Eligibility Committee to improve our CPD monitoring. Feedback from members seemed to support an approach that provides simpler reporting, greater clarity on what constitutes acceptable CPD, and more focus on limiting exemptions. That is what we will do. Stay tuned!

At its March meeting, the Board decided to proceed with the requirement to disclose criminal convictions. As a result of the thoughtful member feedback, a longer transition period will be provided. The Board's thinking is that Rule of Professional Conduct #11 already requires members who have a criminal conviction to be subject to the Institute's disciplinary process. This proposed change adds a disclosure requirement to complete the intention of Rule 11 and will require the Institute to clarify how it will address convictions of members and those wishing to join the CIA. The Board held a special call on April 26 to discuss the proposed bylaw changes. Additional changes were requested and the final proposed bylaws will be approved shortly. Explanatory material will be released to members in late May. A webcast will be held in English and French over lunchtime on May 30 to respond to member inquiries. A vote of the members will take place at the CIA's Annual Meeting in St. John’s on June 28 at the General Business Session. Proxy voting will be organized to allow members not attending the Annual Meeting to vote.

Strategic Plan Review – Engagement in Public Policy

One significant Board activity is the review and updating of the Institute’s strategic plan. Each of the four key initiatives that are being added to the plan has Board members, volunteers, and CIA Head Office staff working hard to reach the milestones in time.

One of these key initiatives is increasing the CIA’s engagement in public policy, one that the Board has been fully behind for over a year. The Blue Ribbon Task Force on Public Policy chaired by Jacques Tremblay is looking into this initiative, working on processes for the CIA to get in front of some big topics, how to generate appropriate research, and take an evidence-based proactive stance, all with built-in member outreach. The task force is trying to balance taking bolder positions in the public policy space while making sure that members have ample opportunity to express their thoughts during public position development, and looking for ways to develop appropriate initiatives that would support the vision, mission, and values of the CIA, in the public interest. There are diverse opinions about the CIA’s involvement in public policy, and the members of the task force represent the broad spectrum of those opinions. Stay tuned for more news following the Annual Meeting.

Public Position on Expansion of Public Pension Plans

In this quick update I also want to let you know that the Pension Advisory Committee (PAC), chaired by Michel St-Germain, has developed a public position which focuses on the expansion of public pension plans. It is a natural and timely follow-up to November’s public position, A Call to Timely Action: Meeting the Needs of Canada’s Future Retirees. That document laid out six conditions which must be met for the CIA to support an expansion of public pension plans. The new public position is the culmination of several months of work by the PAC and has been reviewed by the Public Positions Committee under Mike Hale. It is undergoing some last-minute tweaking before going through the final approval process.

One interesting aspect of the work on this position is the plan to distribute it to all finance ministers, deputy finance ministers, ministers responsible for pensions, particular members of the media, and government officials responsible for pensions, a month before the finance ministers meet in June to discuss the expansion of public pension plans. The document was written to deliver actuaries’ ideas on this subject which will inform the ministers’ discussions before and at their meeting.

That’s all for the moment. We’ll have more interesting news for you in a month!

Rob Stapleford, FCIA, is President of the Canadian Institute of Actuaries.

 
In Focus


By Pierre Dionne, FCIA

This article provides updates on two recent Practice Council activities and looks at some upcoming initiatives.

The SKIs Have Landed

The SKIs were created in 2007 by the Committee on Continuing Education. Their primary purpose was to support members’ continuing professional development programs by providing a summary of skills required to perform specific duties by practice area. The SKIs also provided a very handy resources list, complete with hyperlinks, to CIA documents, accounting documents, regulatory requirements and guidelines, and legislative texts.

A year ago, a few people pointed out that the SKIs had fallen out of date, mostly with respect to the resources list, which had not been maintained. The Practice Council, through its various practice committees, undertook to review and update the SKIs. This process is not yet complete for a few areas of practice, but updated SKIs are available for pensionproperty and casualty insurance, actuarial evidence, and enterprise risk management.

 

More importantly, the Practice Council has established a process to continuously update the resources list, adding new educational notes to the list as they are published by the CIA. Practice committees, who remain current with regulatory and legislative changes, will inform the CIA staff of any updates on that front. A footnote showing the latest revision date will help ensure members are looking at the most recent document.

All practice committees agreed that the resources list is very helpful to members. Keeping this in mind, it was decided to create a dedicated landing page for the SKIs. You can also access this page by selecting the Professional Development tab, scrolling down to Continuing Professional Development, and selecting the SKIS submenu. As the missing areas are completed, they will be added to the web page. This dedicated page means members do not have to search the publications in order to find the relevant SKIs.

We trust you will find the updated SKIs easy to find, and of value in your day-to-day practice. Should you find that some important documents are missing from the resources list, do not hesitate to inform the appropriate committee, or let anyone on the Practice Council know.

The New Life Insurance Capital Adequacy Test

At the end of March 2016, the Office of the Superintendent of Financial Institutions (OSFI) released the new draft guideline on the Life Insurance Capital Adequacy Test (LICAT). The LICAT will replace the current Minimum Continuing Capital and Surplus Requirements (MCCSR) for reporting periods ending on or after January 1, 2018.

The LICAT was a long time coming, with several rounds of quantitative impact studies performed by the life insurance industry over the last several years. Throughout this process, the CIA was also involved, through the Practice Council and several of its committees.

 

Most recently, however, the Practice Council was approached by OSFI to review the draft guideline before it was even published. Even though OSFI released the confidential draft on January 15—right in the middle of the year-end reporting period for life insurers—committees of the Practice Council were hard at work, providing a response to OSFI by the targeted deadline of mid-February. By all accounts, OSFI was very satisfied with the constructive feedback, and incorporated several of the suggestions in the final version of the released draft guideline.

Following the March release, a drafting team was established from members of several committees, in order to provide official comments on behalf of the CIA. Working against a tight deadline, the team reviewed the 194-page document and provided 42 recommendations to OSFI.

Over the coming year, members can expect more communications from the Practice Council on this important topic. Guidance around performing dynamic capital adequacy testing in the transition period, and guidance on narrowing the range of practice around best estimate and provision for adverse deviations, are some of the areas the Practice Council will be addressing in the coming months.

As usual, every member of the Practice Council remains available to discuss any issues you may have, either on the above two subjects, or any other areas of actuarial practice. You can find the current list of Practice Council members, and the list of committees and members, under the Organization tab of the member-only section of the CIA website.

Pierre Dionne, FCIA, is Chair of the Practice Council.

 
Actuaries on the Move

Rob Brown has been quoted in a panel discussion on pensions in Benefits and Pensions Monitor Magazine.

Barry McInerney has been appointed president and CEO of Mackenzie Investments.

In May, Dany Paradis was appointed to the board of directors of Canadian Metals.


Networking is a key part of any successful professional's career, and the CIA is offering you a fresh opportunity to inform your peers about your achievements and progress.

Our (e)Bulletin section, Actuaries on the Move, is a chance for you to publicize your new job, title, credentials, or other information. This is an opportunity to tell thousands of fellow actuarial professionals—whether they are ex-colleagues, former college friends, potential employers, future clients, etc.—about, for example:

  • Your new job;
  • A change of title or area of responsibility;
  • Your new qualifications;
  • A change of contact details;
  • Awards or other recognition; or
  • Publication of academic papers or articles.

Simply send an e-mail—one line of information can be enough, but feel free to add more if you so wish—to the CIA's English editor at bonnie.robinson@cia-ica.ca and we will aim to include it in the next issue of the (e)Bulletin.

For more news of CIA members and their activities, follow the CIA on Twitter.

 
Public Affairs Corner

          

By Les Dandridge and Pascale Belleau

For several years, the CIA Board has set a priority to put more effort into government relations/public affairs initiatives. It backed up its commitment by authorizing the hiring of a specialist in the field (Elliot Hughes, manager, public affairs) in 2014. When he left to take a role as policy advisor in Canadian Finance Minister Bill Morneau’s office in 2015, Pascale Belleau was hired to move the work to the next level as associate director, public affairs.

Over the last two months, this file has been very active. Not only has there been plenty of legislative activity in areas of actuarial interest, but there are a number of submissions that are underway or completed.

Blue Ribbon Task Force on Public Policy

Members have been informed of and consulted about the Board’s work on the strategic plan. One of the cornerstone strategic objectives is to influence public policy. The Board created the Blue Ribbon Task Force on Public Policy, chaired by Jacques Tremblay, to help develop an enhanced approval process for the development and dissemination of the usual public positions and to figure out how to generate two bold public policy documents each year and fit these into the CIA structure.

The task force has been working very hard on several fronts and will present several documents to the Board in June. There are a lot of moving parts to this objective, and once approved, the task force will share its thinking with members and the processes will start to be put in place to enable the CIA to move forward with this important work. Stay tuned!

Bill S-201, An Act to Prohibit and Prevent Genetic Discrimination

In December 2015, Senator James Cowan introduced this private member’s bill into the Senate with the first reading. On January 27, 2016, it received second reading and was referred to the Standing Senate Committee on Human Rights. (A short flashback: Senator Cowan had introduced similar legislation twice before. In 2014, his bill was referred to the Standing Senate Committee on Human Rights where a number of flaws surfaced and the bill died. Jacques Boudreau, chair of the CIA’s Genetic Testing Task Force (now a committee), Bob Howard, and Michel Simard appeared before the committee presenting evidence against the bill, based on the work of the task force and Bob Howard’s July 2014 report to the CIA Research Committee, Genetic Testing Model: If Underwriters Had No Access to Known Results.)

 

This time, Jacques Boudreau and Bernard Naumann appeared at the committee hearing on February 17. The bill was unanimously approved with amendments by the Senate committee on March 10, and moved back to the Senate where it was approved with amendments on April 14.

On May 3, the bill passed first reading in the House of Commons, where Member of Parliament Robert Oliphant from Don Valley West is the sponsor. On May 12, Bernard Naumann, Bob Howard, and Pascale Belleau met with Mr. Oliphant in Ottawa, with Jacques Boudreau attending by conference call. It was a solid meeting with a good exchange of views and a commitment to communicate further as the legislative process moves along.

Federal Pension Initiative

In December 2015, Finance Minister Morneau met with the nation’s finance ministers to discuss a number of topics, pension reform being high on the list. No decisions emerged from that meeting aside from a commitment to meet again in June to have a focused discussion on expanding the Canada and Québec Pension Plans (C/QPP), with a view to reaching agreement at the December 2016 meeting of finance ministers.

The Pension Advisory Committee (PAC) decided to build on the public position released last November, A Call to Timely Action – Meeting the Needs of Canada's Future Retirees, and develop a new position focused on an expansion of C/QPP. The PAC was committed to having it in the hands of federal, provincial and territorial finance ministers, ministers responsible for pensions, government officials, and a number of associations in mid-May, so that the document could help these people focus their thinking on the critical issues. The document went through the process for approval of public positions, with extra scrutiny by the Public Positions Committee (PPC) and an additional review by a group of seasoned, experienced pension experts.

 

The document, Expansion of Public Pension Plans, was distributed on May 19 to CIA members and to the pool of ministers and officials. The PAC is already briefing officials and others on the principles and design elements in the position.

Bill 186, Ontario Retirement Pension Plan Act (Strengthening Retirement Security for Ontarians), 2016

Introduced by the Honourable Mitzie Hunter, Associate Minister of Finance (Ontario Retirement Pension Plan) and given first reading on April 14, 2016, the bill passed second reading on May 9 and was referred to Ontario’s Standing Committee on Social Policy. Michel St-Germain, Chair of the PAC and Ian Edelist, member of the PAC, testified before the committee, presenting the CIA’s perspective on the conditions and considerations for expanding public pension plans as set out in the CIA’s public positions released in November and May.

Health

Recently we learned of an unannounced consultation being conducted by the House of Commons Standing Committee on Health. The committee is studying the development of a national pharmacare program. The committee has conducted several hearings already and the CIA will prepare a brief based on its recent document, Public Position on a National Pharmacare Plan. We have been told that more hearings are being scheduled on the topic and we have expressed our interest in appearing. Actuaries have something to contribute to the discussion on this subject.

 

Submissions and Public Positions

The CIA regularly responds to consultations from governments and various associations, including some international opportunities. These are openings for the profession to express itself on a variety of topics in the public interest where it has experience and knowledge.

The PPC, under Chair Mike Hale, reviews and authorizes these documents, and is also responsible for approving CIA public positions. In the last few months, the PPC has approved submissions dealing with Ontario pension regulations, Québec pension provisions, the Life Insurance Capital Adequacy Test for the Office of the Superintendent of Financial Institutions, International Public Sector Accounting Standards Board – Employee Benefits, and Ontario payday loans (to be published soon). As well, it approved the new position on C/QPP expansion.

Les Dandridge is CIA director, communications and public affairs.
Pascale Belleau is CIA associate director, public affairs.

 
Insight Decision Solutions
RGA Canada
RGA Canada
Institute News

 

By Lynn Blackburn

On May 19, members were advised of a recent Board decision to amend the Bylaws and Rules of Professional Conduct in order to implement a requirement for members of the CIA to disclose any criminal convictions.

Background

As part of the ongoing desire to ensure that CIA members are considered leading professionals in Canada, the Board regularly looks at the CIA’s infrastructure, including its Bylaws, Rules of Professional Conduct, and policies, to ensure that they are sufficiently rigorous and consistent with other professions in Canada.

In early 2014, the CIA’s law firm Fasken Martineau DuMoulin made several recommendations for changes within the Institute to better support Guiding Principle #1, for the Board’s consideration. The Governance Committee (GC) was asked to investigate some of these recommendations.

The requirement to disclose a criminal conviction was at the top of the list and was pursued by the GC. Such a requirement is already imposed on other professions through their respective rules and/or legislation (e.g., Law Society of Upper Canada, Chartered Professional Accountants (CPA) of Ontario, all 45 professional orders in Québec). 

In November 2015, the Board reviewed draft proposed changes to the Bylaws, Rules of Professional Conduct, and several policies that were recommended in order to further support the principle behind Rule 11 of the Rules of Professional conduct which already stated that a member would be "subject to the CIA’s disciplinary procedures if the member is convicted or found guilty of or pleads guilty to any criminal or similar offence". The proposal would require that new applicants, as well as existing members of the Institute, disclose any past or future criminal convictions for review and assessment by the Institute. The Board approved the proposed changes for release to the membership for consultation.

 

In March 2016, the Board discussed the results of the member consultation and, with a few modifications to the proposal, decided to proceed with implementation. The next steps in the formal approval process were then initiated.

On April 26, 2016, the Board approved the proposed amendments in principle, which would further strengthen Rule 11 with the addition of a disclosure requirement. This new requirement will enable the CIA, as the professional actuarial body in Canada, to become aware of a criminal conviction of one of its members and more promptly assess and determine if such information impairs the professional’s ability to provide professional services, thus enhancing the CIA’s ability to protect the public interest.

On May 16, 2016, the Board formally approved the proposed amendments, including the use of proxy voting for members to confirm the amendments. On May 19, the amendments were released to members for confirmation at the Annual Meeting in St. John’s, NL on June 28–29, 2016.

On May 30, 2016, a webcast was held with the leadership in order to provide members with an opportunity to better understand the changes and ask questions. If you were not able to attend, you may access a recording of the webcast.

Documents

The material below provides you with the detailed amendments that have been approved by the Board, and which now require member confirmation. The process and procedural information you will need to cast your vote on the proposed amendments, prior to or at the June 2016 CIA Annual Meeting in St. John’s, NL, is also included. You may also access this information on the CIA website, once logged in to the members’ site, under Organization>Amendments.

1. Memorandum to Members: Proposed Amendments Related to the Disclosure of Criminal Convictions.

2. Amending Bylaw No. 2016–1: Disclosure of Criminal Convictions (Bylaws and Rules of Professional Conduct). Also, see Appendix A and Appendix C.

3. Policy on Disclosure of Criminal Convictions.

4. Policy on Qualification Requirements.

5. Policy on Waiving Membership Dues.

6. Instructions for Voting (Electronic Proxy and Live) and Use of the Amendments Listserver—Timetable for the Next 40 Days.

7. May 30 Webcast Recording.

8. Annual Meeting Registration.

Lynn Blackburn is the director of professional practice and volunteer services at the CIA.

 

 

 

By Joseph Gabriel, FCIA

An interesting Sherlock Holmes quote, from The Sign of Four, summarizes well how I envision the actuarial profession: "My mind rebels at stagnation. Give me problems, give me work, give me the most abstruse cryptogram or the most intricate analysis, and I am in my own proper atmosphere."

As such, my tenure as staff actuary, education with the CIA, never ceases to bring challenging projects and activities—way beyond what I ever expected when I joined the CIA about two-and-a-half years ago. Of the many tasks that fall under my responsibility, outreach activities allow me to act as an ambassador to the profession while promoting the richness, thoroughness, and utmost reputation of actuaries in Canada.

University Accreditation Program

I have the privilege of meeting university students during the annual CIA tour of the 11 Canadian accredited universities. These visits occur at the beginning of the fall and winter terms and provide the opportunity to inform first-year students about the CIA: its role, responsibilities, the University Accreditation Program (UAP), and other relevant information about the actuarial profession. It is a tremendous opportunity to connect with our future members: interacting with young and eager minds that want to learn about the endeavour that is the actuarial profession. Candidates inquire about all aspects of the profession, whether it’s on UAP, qualification requirements, the numerous actuarial organizations in North America, employment opportunities, and the worldwide portability of the FCIA designation.

 

UAP External Examiner Process

With the end of the academic year, I also have the chance to perform the audit of the accredited universities through the external examiner (EE) process. EE visits occur annually during May and early June and consist of an on-site audit of each accredited university over one to two days. The CIA recruits FCIAs who preferably have experience in education. Each EE is assigned one or two universities, and is accompanied by one of the CIA’s staff actuaries, either Chris Fievoli or myself, to ensure consistency from one university to the next.

During the visit, documentation is examined to gauge exam appropriateness, the breadth of material coverage, and compliance with CIA requirements. The marking of papers is checked for consistency in how marks are acquired or subtracted between different levels of students. Any issues are then discussed with the accreditation actuary, instructors, and relevant university representatives. The goal of this dialogue is to ensure that the university is fully aware of the CIA’s preferred practices and requirements, and to allow the CIA to learn more about the university’s internal quality control processes. Though the requirements specify that the grades in accredited courses must be the result of at least 80 percent of formal examination, the visit also allows the CIA to witness the variety of evaluation methods, namely state-of-the-art computer-based examinations encompassing a balance of theoretical and applied material. 

Career Fairs

Another way of promoting the actuarial profession and the CIA is through career fairs. On May 12, I had the honour of attending the Forum des métiers 2016 (2016 career fair) at Lycée Claudel in Ottawa. This major event included no less than 85 different exhibitors of widely diverse professional background. Neurologists, obstetricians-gynecologists, lawyers, police officers, audiologists, journalists, physiotherapists, and of course—an actuary—had the opportunity to interact with over 200 students in the process of navigating their professional path. Various universities and institutions were also on the premises to promote their programs, such as HEC Montréal, the University of Ottawa, and La Cité college.

 

The CIA booth generated a lot of attention, from curious teenagers stumbling upon the word actuary. I don’t recall how many times I was asked "Excuse me sir, so what is an actuary?", but it was a pleasure exposing students and their parents to the tremendous opportunities and incredible sense of achievement carried by the profession, from qualification to day-to-day work experience. I made it clear that dedication and hard work came with the territory; however, students were not surprised with the fact that no reward comes without effort. It was also very interesting to see other professionals inquire about actuaries! I even had the pleasure of explaining the qualification process and career applications to people such as teachers and optometrists.

Back to School Project

For the second year, the CIA is running its Back to School project that brings actuaries to high schools across the country in order to create student awareness of the profession. The intention is to create greater interest and to motivate more students interested in math to take the path to becoming an actuary. After a successful run last year, 18 volunteers reached over 1100 students. This year, 26 actuaries interested in volunteering with the project have contacted the CIA. So far, six presentations have been completed by four actuaries to an audience of over 150 students. In addition, several other presentations are booked for this fall. Part of the presentation is solving the Million Dollar Problem that gives students a chance to win an iPad Air 2. We are still looking for volunteers to help inspire the next generation of actuaries, so please consider volunteering.

Clearly the CIA is very active in promoting the profession through various initiatives, and each day and event unfold in new challenges. As I often tell my director, Alicia Rollo, "Never a dull moment!"

Joseph Gabriel, FCIA, is the CIA’s staff actuary, education.

 

 
Kathy Thompson, FCIA 

The work that actuaries do is complex and not well-understood by the general public. How to explain succinctly and accurately the work ERM actuaries do was the challenge the Enterprise Risk Management Applications Committee (ERMAC) recently took up, with great success.

"The project goal was to define a branding statement for actuaries as risk management experts, or ERM specialists," says Kathy Thompson, a member of ERMAC, who led the project. "There was recognition of the fact that risk management work and ERM isn’t specific to actuaries," she adds. "There are a lot of different professional bodies involved in ERM work. We wanted to highlight the work actuaries do in this field; what differentiates us from others and how do we add to the work."

"The process started with Google searches to see what came up," Thompson says. "We looked at the CIA, Society of Actuaries, and Casualty Actuarial Society official sites, other general statements, and articles in The Actuary magazine. One of the articles included interviews with actuaries in different practice areas and several incorporated comments about risk management. We leveraged this material, including the existing CIA-branded statement." The group even looked at Twitter’s #WhatActuariesDo competition to describe an actuary’s work in 144 characters or less.

 

"We circulated ideas to the committee," Thompson says. "The committee agreed that shorter rather than longer was beneficial." It was a group effort, as almost everyone on the committee was involved. "It was great to get feedback," she says. "We kept narrowing down the options until we arrived at one we liked," she added. The committee created a short statement that can be used as an elevator speech and a longer, more detailed one, making a conscious choice to use the CIA tagline "seeing beyond risk" to tie in to the professional body as a whole.

After four months, the committee settled on a statement it liked:

Seeing beyond risk. An actuary is a business professional who analyzes and manages the financial effects of risk.

Actuaries have deep roots in applying math and statistics to predict the financial implications of uncertain events. Their training and experience have prepared them with the necessary technical and practical skills required to objectively assess strategic decisions, optimize risk-adjusted returns, and implement risk mitigation techniques. Although traditionally employed in the insurance and financial services industries, the actuary's skill set can be applied across a range of industries. Actuaries are risk management professionals, able to assess both quantitative and qualitative aspects of risk, and develop an integrated enterprise-wide view of risk, thus helping individuals and organizations plan for the future.

The statement will most likely appear on the committee’s page on the CIA website, as well as on the ERM resources page. "We would like to see those working in ERM adopt this, and to see how their work is reflected in this statement," Thompson says. "We hope it will help actuaries make their mark in risk management. We are competing with others in the risk management space. We need to find ways to leverage the skill set we have and bring value to the table."

Thompson is happy with the tangible things coming out of the committee, including the ERMAC Risk Governance booklet, the ERM skills and knowledge inventories (SKIs), and this "What is an actuary?" statement.

"It’s really satisfying when you see the membership of a committee get engaged with something that is an action item for the committee," she says. "It feels good to be part of a group that accomplished this."

 


The latest issue of Seeing Beyond Risk, the quarterly electronic publication, is now available on the CIA website. Each issue features contributions from well-known names in actuarial science and experts in the field, writing about topics suggested and honed by the CIA Editorial Panel, readers, and Institute members.

This issue, the first in a two-part series, features an article from Alain Lessard, FCIA, FSA, who looks at the disruptions the sharing economy is causing, particularly in the insurance industry. The author suggests that almost every traditional industry is at risk of being disrupted, particularly as the sharing economy, also known as peer-to-peer business, grows. The two most famous sharing economy brands, Uber and Airbnb, are today as well-known as any blue-chip company. More are certain to follow.

Mr. Lessard examines how insurance companies will have to continue to work collaboratively with governments and regulators, develop and acquire talent, as well as strengthen their core competencies, to help them determine where they can add the most value for customers moving into the sharing economy.

We are sure you will find this article informative and thought-provoking, and we encourage you to distribute it among your friends and colleagues.
 

Carl Peters, FCIA (1971), FSA (1970)

Carl Peters passed away unexpectedly on April 13, 2016. After graduating from the University of Connecticut, he spent 35 years at the Phoenix Mutual Life Insurance Company. In 1978 he moved to reinsurance sales, eventually retiring as vice-president.

Ronald J.W. Smith, FCIA (1966), FSA (1963)

Ronald J.W. Smith died peacefully on April 16, 2016 at the age of 83. He graduated from the University of Manitoba in 1955 with a bachelor's degree in commerce with honours. After graduation, he moved to Kitchener, Ontario, where he worked in life insurance. In 1959, he moved to the Detroit, Michigan area where he worked as an actuarial and benefits consultant until retiring in 1996.

 
Events News

 

You still have time to register for this year’s Annual Meeting in beautiful St. John’s, Newfoundland and Labrador, June 28–29.

Interesting Sessions

This year’s meeting features a wide-range of sessions of interest to all practice areas. Our keynote speakers, Michael Woodford and Diane Girard, will discuss challenging topics of particular interest to actuaries: Whistle-Blowing and Lessons on Governance and Crisis Management and Ethical Challenges for Actuarial Professionals, respectively.

Networking

This year’s Annual Meeting is being held in conjunction with the Joint Colloquium hosted by the International Pension and Employee Benefits Lawyers Association (IPEBLA), the International Association of Consulting Actuaries (IACA), the International Actuarial Association’s Pensions, Benefits and Social Security Section (PBSS), and the International Actuarial Association Health Section (IAAHS). Combined plenary sessions and social events will provide excellent opportunities to network with colleagues. Annual meeting attendees may also register for the Monday program at the Joint Colloquium.

Explore Newfoundland

Newfoundland is known for its natural beauty and vibrant culture. The joint networking event, Rally in the Alley, will provide CIA Annual Meeting and Joint Colloquium delegates with the opportunity to experience the famous nightlife of downtown St. John’s. The pub crawl includes a traditional fish and chips dinner, lessons in local step dancing and songs, and a chance to be welcomed into the Order of Screechers.

There are numerous options for tours in and around St. John’s and the province before and after the Annual Meeting.

Register Today!

Don’t miss this opportunity to meet your colleagues and explore the eastern-most part of Canada. Registration ends June 10. Hotels and car rentals are booking up fast. Register today!

 

 
Yves Guérard, FCIA 

CIA Fellow Yves Guérard’s presentation during the Adaptation Canada Symposium highlighted how actuaries contribute to climate change adaptation at the individual, regional, national, and international levels.

Beyond a normative role in assessing sustainability, the actuary can encourage attenuation measures by taking into account the positive impact these measures have on risks; for example, within the context of the transition to a low-carbon economy. If the actuary does not do this, or if the assumptions used are outside the range of the generally accepted consensus, the actuary needs to disclose this in their report.

When facing new risks, the actuary can also play a more dynamic and creative role by identifying various possible scenarios for managing the financial impacts of those risks. She or he can promote a number of optimal choices for adapting to climate change by comparing costs over a long-term horizon and suggesting financial arrangements to fund them, including new risk-transfer tools.

Against the comparative benefits of the actuarial profession analyzing complex climate models, actuaries need, in collaboration with other professionals, to enrich the debate within civil society, to support disclosure of climate-related financial risks, and ensure that decision-makers are well informed.

Professional bodies are responsible for promoting the continuing qualification of their members within a changing environment. The 2016 publication of the Actuaries Climate Index (ACI) and the Actuaries Climate Risk Index (ACRI) is a regional initiative in response to the profession’s responsibility to make information broadly available and to educate both actuaries and the general public. A visual illustration of numerous climate-related risks should facilitate an improved perception of the variability and the uncertainty in the changes that go beyond simple warming, a topic which often monopolizes the media’s attention.

The full presentation is available here.

 

 
Volunteers on the Move

International Relations Council

The following people have been appointed to the committees named below:

  • Committee on International Insurance Accounting: Alex Xu, Cynthia Potts, Michelle John, and Edward Lam, effective April 1, 2016;
  • Committee on International Insurance Regulation: Graham Mackay, effective May 17, 2016.
  • International Pension and Employee Benefit Standards Committee: Guillaume Turcotte (Chair), effective July 1, 2016.

A Task Force on a CIA International Strategy has been created with Réjean Besner, Rob Brown, David Congram, Micheline Dionne, Mike Hafeman, Dave Pelletier, Alicia Rollo (liaison to the Eligibility and Education Council and Head Office), Rob Stapleford, Jacques Tremblay (Chair), and Bill Weiland as members, effective April 6, 2016.

The task force has the following mandate to be proposed to the International Relations Council and the Board for approval: to develop an international strategy for the CIA.

The mandate for the International Insurance Accounting Committee is revised as follows:

With regards to new international accounting and actuarial standards for the valuation of insurance and related products:

  • Monitor developments and ensure that news of relevant and material developments is dispersed appropriately within the CIA; and
  • Recommend where specific additional Canadian guidance may be helpful, and if so, assist in its development; and
  • Where relevant and appropriate, provide input from a CIA perspective to the international governing bodies.

The following people have completed their term with the committees named below, and have left with thanks:

  • Committee on International Insurance Accounting: France Déziel, effective November 19, 2015 and Denise Lang, effective December 31, 2015.

Catherine Robertson will continue as a member of the International Pension and Employee Benefit Standards Committee and will remain on the IRC listserver as ASB liaison.

Practice Council

The following people have been appointed to the committees named below:

  • Committee on Investment Practice: Nancy Ning, effective April 8, 2016;
  • Committee on the Appointed/Valuation Actuary: Elizabeth Boulanger (Vice-chair), Steven Finch, and Chris Townsend (regulatory representative), effective April 22, 2016.

The following people have completed their term with the committees named below, and have left with thanks:

  • Committee on the Appointed/Valuation Actuary: Stuart Wason. 

The Standard of Practice Editing Committee has been disbanded with thanks.

Eligibility and Education Council

The following people have completed their term with, or resigned from, the (sub)committees named below, and have left with thanks:

  • Subcommittee of the Committee on Continuing Education:
    • Property and Casualty Insurance Subcommittee: Lisa Guglietti.

Mariève Tétreault has resigned as a CERA review panel member, and leaves with thanks.