C
Chan2009
Member
If the TA (Term Assurance) becomes a Conventional WP TA then the company would need to increase the mortality assumption in the valuation basis to ensure that some mortality surplus arises regularly.
I don't understand why the company would increase the mortality assumption? If the mortality assumption is stronger then the profits would be defered further and so mortality surplus would happen less regularly.
Cheers
I don't understand why the company would increase the mortality assumption? If the mortality assumption is stronger then the profits would be defered further and so mortality surplus would happen less regularly.
Cheers