05 by NiceTime


									An Introduction to the IAA
     September 2006
     Origins, mission and recognition

 Founded in 1895
 Restructured in 1998 to serve as worldwide association of
  professional actuarial associations and individual actuaries.

 To encourage development of global profession
    • technically competent and professionally reliable
    • to ensure that the public interest is served

 Not-for-profit, non-political, Non-Governmental Organisation
   • on the Roster of the Economic and Social Council of the UN
   • on the Special List of the ILO


 Develop the role and reputation of the profession
 Promote high standards of professionalism to serve public
 Advance the body of knowledge of actuarial science
 Further the personal professional development of actuaries
 Promote mutual esteem and respect amongst actuaries
 Provide discussion forum for actuaries and associations
 Represent the global profession with supranational bodies

               Article 8 Co-operation

 IAA restricts its activities to strategies and programmes which
  require international co-ordination or direction, or can be
  handled more efficiently across national and regional
 Does not become involved with actions at level of Member
  Associations or regional groups of actuarial associations, except
  at express invitation of such association or group.
 IAA takes measures necessary to avoid duplication or overlap
  with activities of Member Associations or regional groups of
  actuarial associations.

     IAA Officers (2006) and Secretariat
     (Ottawa, Canada)
 President: Jean-Louis Massé (Canada)
 Secretary General: Yves Guérard (Canada)
 President-Elect: Hillevi Mannonen (Finland)
 Immediate Past President: Alf Guldberg (Sweden)
 Executive Director: Nicole Séguin
 Manager, IT and Member Services: Christian Levac
 Project Manager, Technical Projects: Katy Martin
 Project Manager, Membership and Development: Céleste Leclerc
 Website: www.actuaries.org: Public Site and Password
  protected Members’ site

     Membership and representation
 Full Member Associations: 55 (requirements: must have
  code of conduct, discipline process and education system meeting
 Associate Member Associations: 23
 Assisting development of profession in 40 additional countries
 Fully qualified actuaries: 40,000+ in 97 countries
 Institutional Members:
  • International Association of Insurance Supervisors (IAIS)
  • International Accounting Standards Board (IASB)
  • International Social Security Association (ISSA)

 Observer Member
  • World Bank

     Committees – Terms of Reference and Leaders
 Accreditation     Juan Carlos Padilla (Mexico)
 examine membership applications and make recommendations to
 Council on admissions
 review membership criteria and advise of situations of non
 Audit and Finance   Curtis Huntington (United States)
 review:              budget and investment guidelines
                      internal expense reimbursements
                      Section financial statements
                      due process for public statements
 recommend:           approval of annual financial statements
                      appointment of Auditor

     Committees – Terms of Reference
     and Leaders (cont’d)

 Advice & Assistance         Stephen Handler (South Africa)
  Provide advice and assistance to
  • member associations,
  • associations seeking to become members,
  • individuals and groups wishing to establish new associations

 Advise on : ◦ education                     ◦ professional conduct
             ◦ disciplinary procedures       ◦ standards of practice
             ◦ relationships with regulatory and other bodies

 Identify professional development issues for IAA to address

    Committees – Terms of Reference
    and Leaders (cont’d)
 China Subcommittee:    Estella Chiu (Hong Kong)
 Liaise with: China Insurance Regulatory Commission
              Society of Actuaries in China
 to assist in actuarial education and the development of the
 actuarial profession in China
 Latin America (LA) Subcommittee:            Luis Huerta (Mexico)
 Help actuaries in LA achieve their objectives through
 • consolidation of education structures
 • creation of thriving actuarial profession in areas such as
      life insurance                   casualty insurance
      healthcare                       retirement and social security
      finance and investment

    Committees – Terms of Reference
    and Leaders (cont’d)
 IAA Fund Subcommittee:  Stephen Handler (South Africa)
                          Chris Daykin, Chief Executive
 • Support actuarial education
 • Stimulate development of actuarial professional associations in
   actuarially developing countries
 • Organize seminars and leadership meetings
 • Set up educational facilities
 • Elicit support in form of donations of time, skills and funding
 • Identify funding sources to underwrite more significant

     Committees – Terms of Reference
     and Leaders (cont’d)

 Education Carla Angela (Italy)
  • determine if member association education systems meet IAA
    Education Guidelines
  • review and report on IAA syllabus guidelines

  • facilitate developments in globalization of education systems

  • provide consultative forum for associations

  • facilitate exchange of information about CPD opportunities

     Committees – Terms of Reference
     and Leaders (cont’d)
 Executive Committee    Jean-Louis Massé (Canada)
  Strategic Planning TF  Hillevi Mannonen (Finland)
 Council elects committee chairpersons and Section chairmen to
 Executive Committee on an annual basis
 co-ordinate activities and operations, and propose strategies,
 budgets, membership fees and Council meeting venues
 Financial Risks             David Kingston (Ireland)
  Financial Economics TF      Charles Gilbert (Canada)

 consider matters relating to investment and financial risk
 addressing Enterprise Risk Management and Financial
 Economics/Asset Liability Modelling

       Committees – Terms of Reference
       and Leaders (cont’d)
   IAA Education Program (IEPC) Alf Guldberg (Sweden)
    responsible for the development, implementation and organization
    of an International Actuarial Education Program (IAEP).
 Insurance Accounting          Sam Gutterman (United States)
       Actuarial Standards      David Congram (Canada)
       Subcommittee             Francis Ruygt (Netherlands)
    re insurance financial reporting and auditing:
    liaise with and coordinate IAA responses to documents of:
         International Accounting Standards Board (IASB)
         Financial Accounting Standards Board (FASB)
         International Federation of Accountants (IFAC)
    develop and maintain international actuarial standards of practice

    Committees – Terms of Reference
    and Leaders (cont’d)

 Insurance Regulation                Jukka Rantala (Finland)
       Reinsurance Subcttee           Michael Eves (Switzerland)
       Solvency Subcttee              Stuart Wason (Canada)
 On issues relating to regulation and supervision of insurance
 • liaise with regulators and other interested bodies at international

 • assist in development of international guidelines or standards

     Committees – Terms of Reference
     and Leaders (cont’d)

 Member Services: Ibrahim Muhanna (Lebanon)
  • Congresses:
    review:  organization        locations
                 finances                developments
 •   recommend future locations
 •   encourage formation of Sections
 •   review services and activities for individual members
 •   administer and augment funds designated for benefit of
     individual members including Congress Fund

    Committees – Terms of Reference
    and Leaders (cont’d)

 Nominations         Alf Guldberg (Sweden)
  • recommend suitable candidates for duties of key positions
  • determine mandates of committees, subcommittees, task forces
    and working parties

 Pensions & Employee Benefits Esko Kivisaari (Finland)
       Accounting Standards        Tony Broomhead (United States)
  • address professional issues of international relevance for
    actuaries working in field of employer-provided pensions and
    employee benefits
  • establish links into worldwide pension organizations

     Committees – Terms of Reference
     and Leaders (cont’d)
 Professionalism        Helen Rowell (Australia)
  • identify / discuss issues relating to professionalism of actuaries
  • provide guidance re interpretation / implementation of IAA
  • monitor experience with IAA standards

 Social Security        Hillevi Mannonen (Finland)
  • liaise with International Social Security Association (ISSA) and
    other relevant organizations
  • reflect views of worldwide actuarial community at international
    level on social security issues
  • support actuaries working in social security field
  • raise profile of actuarial role in social security organizations

     Committees – Terms of Reference
     and Leaders (cont’d)

 Supranational Relations      Philippe Maeder (Switzerland)
  • promote higher profile for actuarial profession internationally
  • promote IAA active participation in all areas where actuarial
    expertise can be drawn upon
  • inform IAA of developments at international level
  • promote membership in the IAA with supranational
    organizations and other eligible entities

     Committee Participation

 Full Member Associations entitled to one representative (delegate)
  on most committees – Diversity is desirable
 Committee chairs and vice-chairs can also represent their
  association as a delegate
 Role of Committee Members :
  • active participation in committee work, discussions, meetings
  • keep home association informed of committee developments

 Delegates assume own travel costs

     Communication and Tools for Members

 Communication is electronic: List servers / discussion groups
 Committee delegates and interested persons can join various
  list servers to participate / monitor work of committees
 IAA Members’ Website contains:
  • specialized online translation tool in 8 pairs of languages
  • specialized search tool

 Guidelines adopted to facilitate participation of non-native
  English speakers in work of IAA

     Council Meetings

 Held twice a year at invitation of member associations
 Locations approved by Council respecting geographical rotation
 IAA assumes cost of meetings
 Host association hosts dinner for IAA delegates
 Criteria for governance and conduct of committee meetings exist
 Full Member association entitled to 1 delegate and 1 alternate
  delegate on Council

    Council Meetings (cont’d)

 Council agenda sent 90 days in advance of meeting includes
  motions for decisions requiring super-majority vote
 Second Council agenda sent 60 days in advance of meeting,
  followed by final agenda up to date of meeting, if necessary
 Final agenda can only include non substantial changes
 Proxy votes allowed, BUT only to another delegate
 Delegates assume own travel costs

    Section Terms of Reference
    and Leaders

 Actuarial Studies in Non-Life Insurance formed in 1957
  • Promote actuarial research particularly in non-life insurance
  • Activities: ASTIN Bulletin, annual Colloquium (next is 50th
    Anniversary - June 20-23, 2007 in Orlando, Florida), emerging
    countries program
 Leaders
  • David Hartman, Chairman (United States)
  • Jean Lemaire, Vice-Chairman (Belgium)

     Section Terms of Reference
     and Leaders (cont’d)

 Actuarial Approach for Financial Risks formed in 1988
  • Promote actuarial research in financial risks and problems
  • Principal activity: annual Colloquium (next is June 12-15, 2007
    in Stockholm, Sweden)
 Leaders
  • Jean Berthon, Chairman (France)
  • Eric Thorlacius, Vice-Chairman (United States)

    Section Terms of Reference
    and Leaders (cont’d)

 International Association of Consulting Actuaries formed in 1968
  and became a section in 1999
  • Promote and facilitate sharing of ideas amongst international
    consulting actuaries
  • Principal activity: conference and seminars
 Leaders
  • Mike Toothman, Chairman (United States)
  • Hideyuki Yoshida, Vice-Chairman (Japan)

     Section Terms of Reference
     and Leaders (cont’d)

 IAA Health Section formed in 2003
  • Promote and facilitate international sharing of views, advice,
    research and practical information among actuaries involved
    with public and private health issues
  • Principal activities: seminars, Colloquia (next May 14-18, 2007
    in Cape Town, South Africa), on-line exchanges, other meetings
    and publishing works
 Leaders
  • Howard Bolnick, Chairman (United States)
  • Ibrahim Muhanna, Vice-Chairman (Lebanon)

     Section Terms of Reference
     and Leaders (cont’d)


 Pensions, Benefits, Social Security Section formed in 2003
  • Serve actuaries worldwide with research interests in social
    protection and commercial, social and public policy issues
    concerning provision of pensions and other benefits
  • Principal activities: seminars, Colloquia (next May 21-23, 2007
    in Helsinki, Finland), on-line exchanges, other meetings and
    publishing works
 Leaders
  • Chris Daykin, Chairman (United Kingdom)
  • Neil Parmenter, Vice-Chairman (United States)

     Section Terms of Reference
     and Leaders (cont’d)

 Actuaries Without Frontiers formed in 2003
  • Link situations in need of actuarial skills with financial resources
    and actuarial volunteers to meet those needs
 Leaders
  • Jean Berthon, Chairman (France)
  • Edward J. Levay, Vice-Chairman (United Kingdom)

       Section Terms of Reference
       and Leaders (cont’d)

 Life Section formed in November 2005
  • Promote actuarial research and exchange of knowledge
     in field of life insurance around the world
  • Principal activities: seminars, Colloquia (next June 10-13, 2007
     in Stockholm, Sweden) and other meetings, on-line exchanges,
     websites and publications, and links to other organizations and
     IAA Sections.
 Leaders
  • Kurt Wolfsdorf, Chairman (Germany)
  • Stuart Wason, Vice-Chairman (Canada)

     Relationship Between IAA,
     Sections and Congresses

 IAA: association driven, focusing on professionalism, standards,
 Sections: scientific, research and practical arm
 Congresses: a high point for both
 Associations bid to host section colloquia and congresses and
  assume financial responsibility
 Colloquia are yearly or biannually, while Congresses are every
  four years
 In Congress year, section colloquia are held in conjunction with
 Next Congresses: March 2010 (Cape Town, South Africa), March-
  April 2014 (Washington, DC – USA)
     Finances and Expenses

 Sections manage their finances with administrative support from
 Section statements subject to audit and review by Audit and
  Finance Committee
 All Section dues are $40 CAD per individual, except for AWF
  whose dues are $20 CAD

     Finances and Expenses (cont’d)

 Budget for 2006:
  Expected Revenue:           $847,500 CAD
  Expected Expenses: $842,500 CAD

                                                     Statutory Meetings

                           5.2%    3.2%
                    5.6%                             IAA Fund
                                                     Committee Support
                                                     & Expenses
                                                     Representations &
           17.2%                                     Rent & Other Office
                           11.9%                     Internet &
                                                     Insurance & Other

    IAA External Relations – Representation
    January to May 2006

 February   North American Actuarial     Mérida, México
             Pacific Rim Actuarial Club   Toronto, Canada
             of Toronto
 March      8th Global Congress of       Mumbai, India
             10th Regional Pension and   Bahrain
             Social Insurance Conference
             150th Anniversary            Edinburgh, Scotland
             celebrations of Faculty
             of Actuaries

     IAA External Relations – Representation
     January to May 2006 (cont’d)

 April     Annual meeting of DAV     Cologne, Germany
 May       Institute of Actuaries’   London, UK
            biennial dinner
            Round table on Modern     Moscow, Russia
            Problems of the Actuary
 September IAA Fund Meeting          Warsaw, Poland

      Recent IAA Activities

 Financial Risks
  • Prepared Public Statement on IAIS Draft Supervisory
    Standard on Asset Liability Management
  • Formed Task Force on Financial Economics to promote the
    evolution of sound practices for the global actuarial profession
    and help manage any paradigm shift

 Insurance Accounting
• Prepared responses to:
   Exposure Draft of Proposed Amendments to IAS 1
    Presentation of Financial Statements: A Revised Presentation
   Draft IAIS Standard on Disclosure Concerning Technical
    Risks and Performance for Life Insurers

      Recent IAA Activities (cont’d)

 Insurance Accounting (cont’d)
  • Continued work on next set of International Actuarial
    Standards of Practice to reflect comments received during
    exposure period
  • Considering comments to IASB on proposed amendments to
    IAS 1 – Presentation of Financial Statements
  • Continued development of an IAIS-requested paper on risk
  • Represented the IAA, in cooperation with the IAIS and
    CEIOPS, at an IASB Educational Session (June 2006)

    Recent IAA Activities (cont’d)

 Insurance Regulation
  • Prepared responses to IAIS on:
     Revised IAIS Guidance Paper on Risk Transfer, Disclosure
      and Analysis of Finite Reinsurance
     Revised IAIS Guidance Paper on Risk Transfer, Disclosure
      and Analysis of Finite Reinsurance
     IAIS Common Structure for the Assessment of Insurer
  • Assembling an ad hoc working group on the Role of the Actuary

  • Developing an international actuarial standard on Internal


     Recent IAA Activities (cont’d)

 Pensions and Employee Benefits
    • Draft Public Statement in preparation on Issues surrounding
      IAS 19: Employee Benefits
    • Exploring the possibility of an International Actuarial Standard
      of Practice on Pension Cost Accounting
    • Participated in review of World Bank paper « Old-Age Income
      Support in the 21st Century »
 Social Security
  • In process of updating IAS 1 - Guidelines of Actuarial Practice
    for Social Security Programs

         Issuing Public Statements

   Guidelines for making public statements require normally 60 day
    exposure of proposed response and vote of Full Member
   When time is limited, committees can request to use Fast Track
    Procedure (FTP)
     • Full Member associations:
          encouraged to participate in drafting
          can object to use of the FTP
          no vote required


To top