The Society of Actuaries (SOA) is expected to finalize a new set of mortality tables by the end of this month, according to a report from PwC. “Because mortality is a key assumption in developing actuarial estimates, this could significantly impact the valuation of pension and other postretirement benefit (OPEB) obligations,” says the report. According to ValueWalk, when pension funds make the switch, they will see their expected liabilities rise by as much as 7%.
Please let us know if you have any comments about this article or enhancements you would like to see.