About this working party
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The working party will investigate discount rates as they function under IFRS 17. IFRS 17 requires insurers to set appropriate discount rates for liabilities. Whilst IFRS 17 sets out broad principles, there are many techniques and methods that could be used to set suitable rates. The working party will consider the different ways discount rate mechanisms might operate, how actuaries may set up an appropriate framework, and draw attention to some of the advantages and disadvantages that might be encountered in practice.
Key objectives:
• Compile and review current literature in the life insurance arenas to ensure access to up-to-date information.
• Consider the pros and cons of different methods for setting discount rates.
• Provoke thought leadership and innovation within the industry through presentations and forums to gain wider input.
Chair: Richard Olswang
Established: 2018 - 2023