Topical issues list (updated November 2023)

It is important that Subject SA2 students take the opportunity to keep abreast of current developments in life insurance. It is possible that some exam questions may cover topical issues that are not covered explicitly by the Course Notes alone (although you shouldn't be tested on factual knowledge outside of the Core Reading).

We've produced a document about topical issues and this is attached as a pdf. It provides a brief summary of a number of issues and weblinks to further sources of information.

Please use this thread to add any comments about topical issues and recommend any useful sources of further information.

 

Hi

Popping in to post a suggestion from another thread http://www.acted.co.uk/forums/showthread.php?t=4665 :

The Actuarial profession website (07 October 2010) has posted its actuarial opinion regarding the EU's Gender Equality legislation and how it could lead to inequality in provision of insurance products.

Link to the Acturial profession's website: http://www.actuaries.org.uk/news/pr...tion-could-lead-inequality-provision-insuranc

Cheers
Lynn

 

Hi

An updated topical issues file is attached.

Thanks

Em

 

Hello

An updated Topical Issues document is attached.

Best wishes
Lynn

 

Hi - the document is normally updated once a year (unless something unexpected arises that we feel is worth adding in). You are fine to use the latest version (Dec 2016) for the September sitting.

 

Hi

An updated Topical Issues document is attached.

Thanks
Em

 

IFRS developments are included in the Topical Issues document posted above.

 

Happy New Year
An updated Topical Issues document has been attached.

Thanks

Em

 

Hi
We no longer post this but an up-to-date grid can be found in ActEd's ASET which you can order through our website.
Thanks
Em

 

For the SA level subjects, it is important to keep abreast of current developments in the insurance industry.
Although you shouldn't be tested on factual knowledge outside of the Core Reading, it is possible that some exam questions may cover topical issues that are not covered explicitly by the Course Notes.

The following is a list of topics you may wish to consider as a student studying SA2:

Climate change – related risks and how this is starting to impact insurers
IFRS 17 – latest developments
Mortality improvements and the use of antibiotics
The rise of Insurtech
Implications of Brexit
The current pension environment

This is not an exhaustive list; it is just an example of current issues being discussed in the Life insurance industry.
Hope you find it useful.
Thanks

 

Hi
I wouldn't want to provide specific links but you could try EIOPA, IFoA and IASB official websites. Along with any papers by the 'big' consultancies on these topics.
Thanks

 

Hi

It has nearly been a year since the last 'Topical issues' thread, I therefore thought it was time to provide an updated list for your perusal:

For the SA level subjects, it is important to keep abreast of current developments in the insurance industry.
Although you shouldn't be tested on factual knowledge outside of the Core Reading, it is possible that some exam questions may cover topical issues that are not covered explicitly by the Course Notes.

The following is a list of topics you may wish to consider as a student studying SA2:

• Implications of climate change on the life insurance industry
• Environmental, Social and Governance (ESG) requirements - how these are impacting the life insurance industry
• Implications of COVID-19 on the life insurance industry, eg mortality related claims, operational issues, new business premiums, investments
• IFRS 17 – latest developments
• Use of AI in life insurance
• Data science – updating life insurance models and processes
• Cyber risk – understanding adverse impacts and methods to manage
• Implications of Brexit
• Run-off of with-profits funds - sunset clauses (trigger points) when the fund is restructured , eg via a Part VI transfer and possible conversion to unit-linked.

Thanks
Em

 

Hi
I would look at the latest papers produced by the big Actuarial and Accountancy consultants.
Also, the main IFRS website: https://www.ifrs.org/
There are a few papers on the IFoA website.
The Actuary is a good read to keep up to date.
And regarding the final bullet point above, you may find the below interesting:
https://www.utmost.co.uk/news-artic...e-business-transfer-utmost-life-and-pensions/

Thanks
Em

 

Topical issues update for 2022 exams

As a brief update on topical issues, ready for the new exam year, the list posted in December 2020 (see above) remains a very useful checklist. Additional items that might be considered include:

• infrastructure investment, particularly those that meet sustainability objectives
• potential reduction in the generosity of tax advantages for pensions accumulation business
• increase in global middle classes and market expansion in developing economies
• significant increase in data availability and connectivity potentially leading to more personalised insurance product design and pricing, including 'continuous underwriting'
• the development of International Capital Standards (ICS) for internationally active insurance groups by the International Association of Insurance Supervisors (IAIS) - see the following for an overview: https://www.bis.org/fsi/fsisummaries/ics_overview.pdf

Please do feel free to post up any other suggestions.

 

Yes, we have! However, we would strongly caution against trying to 'predict' exam questions, particularly where that means that your revision focus narrows down onto those topics. The purpose of the list is not to enable you to predict what questions might come up, but to give some pointers towards current issue topics that might be on the examiners' minds when setting questions - thereby allowing you the opportunity to think a little about what sort of question could possibly come up on that topic and, if it did, how you might tackle it.