bluuebunny/crossref_metadata_2025_split huggingface dataset:
Surrender Values and Paid-up Policies
Authors: Tyler V. W. 
Published: August 2016

In considering the question of surrender values and paid-up policy values, it must be borne in mind that the conditions affecting different offices vary to a great extent and that, consequently, no hard and fast bases can be given.(i) The surrender values and paid-up policy values must be reasonable from a competitive point of view.(ii) The values of one class of policy must be comparable with those of other classes.(iii) The surrender values and paid-up policy values must be interdependent inasmuch as at the limiting age of the table they are equal.(iv) Simple calculations only must be involved, the results being obtained as far as possible by the inspection of prepared tables.(v) A reasonable profit must be reserved for the office.(vi) The heavy expenses incidental to the issue of a policy must be met, and hence no surrender value should be allowed in ordinary cases until, say, two full years' premiums have been paid.
The National Insurance (Health) Acts 1911-1918
Authors: Klagge O. C. J. 
Published: August 2016

The intention of these remarks was to deal with the financial and actuarial basis of the 1918 Act with particular reference to the various funds set up under that Act.The 1918 Act, however, did not create an entirely new financial basis to replace that of the original (1911) Act, but rather introduced important modifications in the financial structure of that Act, chiefly by the setting up of protective funds. In order, therefore, fully to understand the present position it was considered desirable to give a short sketch of the position under the 1911 Act and the circumstances which led to the passing of the 1918 Act and the creation of these protective funds.
Simple Titles to Life Policies.
Authors: Hall Clement 
Published: August 2016

It has been said that the chief object for which insurance offices exist is to pay claims. Whether this is true or not it is certain that the payment of claims is an important part of the business of life offices. Before, however, claims can be paid it is necessary to ascertain who is the proper person to receive payment and in view of the troubles in which an office may be involved if payment is made incorrectly it is essential that those who aspire to official positions in life offices should have some knowledge of law.As under the rules of this Society this paper must be read in 20 minutes it will only be possible to deal with a few of the points which arise, but it is hoped that it will give a bird's-eye view of the subject and so enable those who are about to consider it more fully to do so with advantage.In the following notes English law is referred to in the absence of any statement to the contrary.
Office Premiums.
Authors: Hooker P. F. 
Published: August 2016

There are three conditions which must be borne in mind in the calculation of office premiums.Necessity for adequacy. Every premium charged must be sufficient to cover the risk and the expenses which are incurred in connection with the particular policy in question, and also to provide a reasonable contribution towards the general expenses and to leave a margin for profit. The fact that several offices charge very low rates for whole of life without-profit policies seems to indicate that the necessity of complying with this condition is a question on which some difference of opinion exists.Influence of competition. The rates should compare well with those charged by other companies. An office which charges exceptionally low rates at certain ages or for certain classes of assurance will find that it is issuing a large number of policies in these sections of the business, and that people are going elsewhere for the classes of policy for which its rates are high.Principle of consistency. The rates charged at differentages, and for different classes of assurance, should be consistent, and the differences between the with-profit and without-profitrates should be reasonable in view of the rate of bonus whichthe office is, in normal times, in the habit of granting.
Life Office Stock Exchange Investments
Authors: Holness A. S. 
Published: August 2016

No discussion of Life Office Investments before the Students' Society would be complete without reference to the five canons laid down by Mr A. H. Bailey. Their influence on the investment practice of Life Offices has been almost universal and continuous since they were enumerated in 1862, and when it is reflected that the great majority of Life Offices, although their annual profits are comparatively very small in relation to the very large accumulated funds which they administer, nevertheless emerged from the War period, and the enormous depreciation of securities which it entailed, stronger than ever before, no apology need be made for restating the principles which have been followed with such successful results.They are as follows:1. That the first consideration should invariably be the security of the capital.2. That the highest practicable rate of interest be obtained, but that this principle should always be subordinate to the previous one, the security of the capital.
Valuations Under the Industrial Assurance Act, 1923.
Authors: Laing J. Murray 
Published: August 2016

In paragraph 27 of the Parmoor Report (Cmd. 614/1920) it is stated that an investigation into the methods by which different Industrial Assurance Companies ascertained their actuarial liabilities revealed the fact that among nineteen such Institutions no fewer than eighteen different methods were found to be in use. That the methods in use were practically as numerous as the Offices adopting them was a fact worthy of being recorded, and one which would appear to require some explanation, but I submit that, surprising as such a revelation may be, it would have been even more remarkable had the investigation disclosed that all these Offices used a similar Valuation basis. The views of the Parmoor Committee on this very important matter are summed up in the following extract:‘The business of all the (Industrial) Companies is practically identical, their Tables of Rates are strikingly similar to one another and the adoption by all of an identical method of valuing the liabilities might reasonably be expected.’
Approved Society Statistics
Authors: Robertson B. 
Published: August 2016

It is scarcely necessary in a Society such as this to prepare any defence of the practice of collecting statistics although we know that among those whose profession does not involve the use of figures, statistical tables are regarded with a certain amount of suspicion.If I were in need of any apology for upholding the need for systematic collection and analysis of data I should refer my questioner to page 83 of the Report of the Royal Commission on National Health Insurance where he would find a strongly expressed opinion in favour thereof.I wish to make it quite clear that in the remarks which follow there is no mention of modern statistical methods of the Karl Pearson type. It occurred to me, however, that a short description of some of the processes employed in dealing with the masses of figures involved in the operations of large Approved Societies might be of interest.
Précis of a Lecture on the Married Women'S Property Acts 1870 and 1882
Authors: Houseman David 
Published: August 2016

The law which governs life assurance contracts, their formation and their execution is, to a very large extent, the same law as that which governs mercantile contracts generally. The titles to life policies are affected by the law of contract, of mortgage, of partnership, and so on. There are, however, some legal principles and statutory provisions which affect life assurance alone, and among them are the following sections in the Married Women's Property Acts, 1870 and 1882.Married Women's Property Act, 1870, Section 10.A married woman may effect a policy of insurance upon her own life or the life of her husband for her separate use, and the same and all benefit thereof, if expressed on the face of it to be so effected, shall enure accordingly, and the contract in such policy shall be as valid as if made with an unmarried woman.
Charles William Kenchington, F.I.A.
Authors: R. K. L.  
Published: August 2016

By the untimely death of Mr. C. W. Kenchington on the 30th October, 1934, the Students' Society has lost one of its earliest honorary members, and students generally have lost a good friend who was wise in counsel and sympathetic in their difficulties. Long before the Institute embarked on the present comprehensive scheme of tuition, Mr. Kenchington acted as tutor for all four parts of the examinations, and later in Birmingham he interested himself, not only in actuarial students, but also in those taking the examinations of the Chartered Insurance Institute.Distance from London prevented him from being as regular in attendance at the fortnightly meetings of the Society as he would have wished, but on a number of occasions he made the journey to Town to take the chair or deliver a lecture. When the “Consolidation of Reading” project had reached a critical stage Mr. Kenchington, at the unanimous request of the Committee, consented to act as Editor-in-Chief of the series of booklets, and it is not generally known to what a considerable extent the publication of the first booklet was due to his encouragement and gentle urging.
The Valuation of Life Interests and Reversions (with special reference to Income Tax)
Authors: Lewty F. A. P. 
Published: August 2016

Prior to 1915 profits arising from monies invested by Life Offices in the purchase of Reversionary Securities were untaxed. Rapidly increasing expenditure forced the Chancellor of the Exchequer to break new ground and the Life Offices were invited to show cause why this apparent anomaly of an untaxed source of revenue should be allowed to continue. In due course there remained only to be determined the basis of taxation of these profits.Mr. Geoffrey Marks, who represented the Life Offices in the negotiations with the Revenue Authorities, was instrumental in obtaining a valuable concession in respect of contracts completed prior to 5th April 1915.
Brief notes on Unemployment Insurance in Great Britain
Authors: Honey F. J. C. 
Published: August 2016

It is impossible in these notes to attempt any comprehensive review of the system of compulsory Unemployment Insurance which has operated in this country since 1912. Moreover, the paper by Messrs Kyd &amp; Maddex read before the Institute in January 1929 gives full information up to that date. But I want to start by outlining the original scheme, as I think the way in which it has been modified and extended may be found of interest.The system began with the National Insurance Act, 1911, Part II. Contributions commenced in July 1912 and benefit in January 1913. Only a few industries which were considered to carry a specially heavy risk of unemployment were included, and the numbers insured at the outset were about 2¼ millions. Contributions were 2¼d. per week each from employer and worker, and 1⅔d. from the Exchequer. Benefit was 7s. per week, with a limitation of one week's benefit for every five contributions paid, and a maximum of fifteen weeks' benefit in a year.
A Note on a Formula of Newton and an Extension Thereto.
Authors: Garfath H. L. 
Published: August 2016

Letf(x), f″(x), f″(x)denoteafunction ofx, its first and second derivatives respectively. Iff(x), f″(x)are one-valued, finite and continuous, and f″(x) exists in the neighbourhood of the valueaofx, thenwhere o &lt;θ&lt; I. Suppose the valueais an approximation to a root of the equationf(x)= o, the true value of which isa + h.Equation (I) becomesand supposing thatf″(a)≠ othat is,a + hdiffers from.
Analysis of surplus in a Staff Pension Fund
Authors: MacIntosh R. I. 
Published: August 2016

The subject of Analysis of Surplus is often approached by the student with unwarranted misgivings, but it is hoped to show in this paper that the main requirement is a clear understanding of the valuation processes and assumptions.Every valuation is based on a series of estimates and assumptions and it is a natural sequence that, at the end of a valuation period, these should be tested to see to what extent their adoption has been justified by experience. It can therefore be said that Analysis is the corollary of Valuation.
On Waring's B-formula
Authors: Bizley M. T. L. 
Published: August 2016

In the theory of Life Contingencies there arises the problem of determining the probability that exactlyrlives shall survive a stated period of time out ofnlives of different ages. This is of course a special case of a general question in Probability which may be stated thus: If there arenindependent events whose individual probabilities of occurring at a single trial arep1,p2…pn, what in terms ofp1,p2…pnis the probability that at a single trial of each exactlyrof them shall occur?The developments given in the text-books of King and Spurgeon are familiar to all, but these are not the only methods that have been evolved. Different proofs have appeared from time to time in various publications, most of them in foreign languages, and it is the object of the present paper to collect these together so that they may be easily accessible for reference and comparison. This would appear to be desirable because the question cited above is fundamental in Life Contingencies and in Probability, and also because some of the most satisfactory proofs are to be found only in foreign technical works and have not hitherto been published in English.
Note on Suttie's ‘Some points arising in a net premium valuation’
Authors: Springbett T. M. 
Published: August 2016

The conclusion reached from a consideration of Table 1, that ‘in a perfectly stationary fund…the bonus for which the premium scale is loaded will emerge from a net premium valuation whatever margin is allowed between the experience and the valuation rate of interest’, is difficult to accept without a more detailed investigation.At first sight it appears to be supported by the incontrovertible argument that if the premiums are loaded to allow for a £2 % bonus and the experience is exactly that assumed in the calculation of the premiums, the profit made must be sufficient to pay a level bonus of £2 % per annum irrespective of the valuation basis. In a stationary fund, therefore, it might be argued that the valuation basis cannot affect the surplus brought out each year.
The Classical Theory of risk— a statistical approach
Authors: Williams Kennedy 
Published: August 2016

The purpose of this note is to develop some of the formulae of the classical theory of risk by a uniform treatment in which the “deaths’ column of the life table is considered as a discontinuous frequency distribution. The paper thus forms an example of the application of standard statistical processes to actuarial theory, and also supplies demonstrations of certain of the results quoted without proof in the survey by E. Lukacs. The aim has been to provide an elementary introduction both to an actuarial subject long neglected in this country, and to statistical methods of general utility.The paper owes its origin to a stimulating series of talks on the Theory of Risk, given by S. Vajda to the statistical Study Group of the Society. The particular approach adopted and the treatment of composite policies are thought to be original.
Methods of bonus distribution with special reference to the reduction of premium system
Authors: Peter A. E. 
Published: August 2016

The records of papers read before the Students' Society or published in its Journal contain few references to the system whereby surplus is allotted to policyholders primarily in the form of reduction of premium. It is thought that this system would form a suitable subject for discussion and would be of interest to members as well as of value to those students who are concerned in their studies with Valuation and Surplus.The description of the system contained in Mr R. K. Lochhead's book issued in the Consolidation of Reading Series is necessarily brief, and it may be convenient to enlarge on this by tracing the development of the system in one of the offices which has transacted this class of business for upwards of one hundred years dating from the early 1800's.
The stock exchange in practice
Authors: Asbury H. G. 
Published: August 2016

This paper is submitted in the hope that it will assist members who are not actively concerned with investment matters to obtain a reasonably clear picture of the Stock Exchange and how it works.The main object of the Stock Exchange, as an institution, is simply to provide a market for stocks and shares, i.e. rights to interest or dividends. Such a market has been in existence in one form and another since the latter part of the seventeenth century, and is virtually a necessity in the modern capital structure. Without it the investor would be loth to lock up his money in a joint-stock undertaking, and, if he did, would have difficulty in assessing the value of his holding at any time. Moreover, he would have little to guide him in making the best use of his capital and, on the other hand, companies requiring funds (to say nothing of the Government) would find it hard to guess the best terms for a new issue.
The Consulting actuary and pension funds
Authors: Abbott R. W. 
Published: August 2016

During the course of a discussion on Mr R. C. B. Lane's paper, ‘The Dissolution of a Superannuation Society’, presented to the Institute on 24 January 1949, Mr V. A. Burrows enunciated the dictum that a consulting actuary's function, in connexion with friendly societies and pension funds, was primarily an educative one. In his view, it was the actuary's duty to explain and expound the mysteries of his craft so that the laymen who formed committees of management, trustees, local authority finance committees—whoever his clients were—should obtain some grasp of the actuarial principles of their particular funds.Most consulting actuaries would probably agree with this definition of their task. Their clients can generally give only superficial and spasmodic thought to their own funds, since their primary attention will be devoted to their own trades or businesses. The consulting actuary, on the other hand, meets a succession of technical and administrative problems bearing on friendly societies and pension funds, and in course of time he should be able to exercise wide judgment in these matters. Trustees and committees of management of pension funds should come to feel that they can turn to their actuary for guidance on all points of difficulty whether these are of principle, policy or administration.
A New Method for the Group Calculation of Reserves
Authors: Jecklin Heinrich 
Published: August 2016

The following communication is not an original paper, but the summary of an article published by the author in collaboration with H. Zimmermann in theBulletin de l'Association des Actuaires Suisses, L, pt. 2 (1950). As the method of reserve calculation by grouping described below assumes a fundamentally new point of view and combines substantial advantages with great simplicity, it may, however, interest those actuaries who have no access to the original paper.As is well known the individual valuation of every single policy, even for a medium-sized portfolio, is a long and arduous task. Therefore different methods for the valuation of policies grouped in certain ways have been in use for a long time. In this respect it is possible to distinguish methods giving the exact total of the individual reserves (e.g. the so-called Altenburger or Karup or valuation constant method) and those leading to approximate results (e.g. the Lidstone or Z-method). But most group methods have the evident disadvantage of a grouping which is in other respects inappropriate for the classification of the individual policy within the portfolio. Thus, in the valuation constant method, groups of equal age attained have to be formed, and the Z-method requires groups of the same remaining term. Yet one would much prefer a grouping which necessitates no sorting of the policies contrary to their natural grouping. Thus the putting together of all policies with the same year of entry for the purpose of collective reserve calculation is in some way a natural manner of grouping, and this was the procedure used in thet-method formerly proposed by the author.
Actuarial science and the theory of statistics
Authors: Perks Wilfred 
Published: August 2016

The theory of statistics, like other scientific theories, can be divided into three fairly distinct sections; they are (1) the foundations of the theory, (2) the superstructure, and (3) the principles of application. It is, of course, possible to divide the subject in different ways; for example, the word ‘methodology’ is sometimes used to cover part of (2) and (3). But I find it helpful in thinking about the subject to make the division that I have indicated.It is my purpose to show that actuarial science is essentially a particular application of the theory of statistics, that there is nothing very special about its superstructure and that in its application to practical affairs the universal principles apply. But I first want to make it clear that while I include the combination of compound interest functions with other actuarial functions as part of actuarial science I do not regard finance and investment as part of actuarial science proper. While treating finance and investment as a part of economics I appreciate that they represent an essential ingredient in the equipment of the practising actuary.
An example of the use of Power curves
Authors: Moore P. G. 
Published: August 2016

The concept of a power function in statistics often proves rather difficult to absorb. Johnson &amp; Tetley (1950) develop the theory at some length, and Forster (1947) in an admirable article in thisJournalprovides some extra reading which is of necessity in rather general terms. It is hoped that the problem discussed in this article may prove a useful example of the application of the power concept to a particular problem and clarify the underlying theoretical ideas.In any statistical test two kinds of error may arise. The first kind of error occurs when the hypothesis tested, usually called the null hypothesis, is rejected when it is in fact true. The second kind of error occurs when the null hypothesis is accepted when it is in fact false. The hypothesis with which the test is concerned will in general be denoted by Hi. In our case simple hypotheses will be considered which are concerned with the value of some parameter defining the probability law of the individuals.
Friendly Societies
Authors: Geddes P. 
Published: August 2016

How are the Friendlies faring? This catch-phrase was born soon after the take-over of Approved Societies in 1948 and was bandied about in Friendly Society circles for the next two or three years. It is perhaps a pity that the question had not been asked 10 or 15 years earlier. Be that as it may, the answer to-day is fairly clear.That the Friendly Society movement as a social institution of the country is fast declining is, I think, undeniable. The Registrar's Statistical Summaries show that the total number of Registered Branches and Societies, excluding collecting societies, declined from 19,429 in 1939 to 15,226 in 1950. This apparently alarming fall, 20 % in 11 years, is not, however, quite so bad as it looks—of the total wastage of 4203 Societies, 2590 relates to Branches of the Affiliated Orders and reflects various policies of centralization, amalgamation and reorganization; actually many of the Branches which have been deleted from the Register still exist as agencies instead of autonomous units. In the same way, of the balance of 1613 wastages among Societies without Branches, a fair number will have been due to the amalgamation or absorption of different Societies.