Traditional Life

Key Features

PolySystems’ fully integrated suite of production quality actuarial modeling software offers comprehensive valuation, projection, and experience study capabilities. With a unique combination of flexibility and out of the box functionality, PolySystems’ single platform can be used to calculate both prescribed and principles-based reserves (PBR) and capital, perform fully integrated asset/liability projections for CFT and planning, set assumptions, carry out sensitivity and stochastic analyses, manage inforce profitability, price products and much more.

Key features for traditional life include:

  • A powerful Source of Earnings tool for analyzing and understanding how and why reserves change over time, both historically and prospectively
  • Dividend Generator for analyzing and setting declared dividends

Broad Product Support

Our software supports all major traditional life products including Term, Whole Life, Interest Sensitive Whole Life, Variable Whole Life, Endowment, and Group Ordinary. PolySystems’ high out of the box functionality supports a wide variety of traditional life product features and design considerations, including:

  • Premium patterns (level, decreasing, indeterminate, etc.)
  • Dividends for participating policies
  • Joint life policies (first and second to die)
  • Deferred maturities
  • Multiple benefit combo plans
  • Policy loans
  • Rider support includes term coverage, benefit increase, return of premium, supplemental benefits, and any custom rider for which a benefit and claim cost pattern can be defined
  • Traditional life reinsurance treaties (assumed and ceded)

Multiple Accounting Methodologies

PolySystems supports valuations and projections for all major U.S. statutory, tax and GAAP reserving methodologies.  We actively follow potential changes to reserving rules and guidelines, keeping our software compliant and ready for new regulations before they become effective.  Our traditional life software fully supports VM-20 for PBR and calculates  the net premium reserve (NPR), deterministic reserve and stochastic reserve, as well as the exclusion tests for the deterministic and stochastic reserves.  Supported traditional life accounting methodologies include:

Statutory & Tax
  • Full support for VM-20
  • CRVM (XXX)
  • NY Regulations 147 and 179
  • International methodologies (e.g. Taiwan, Korea)
  • Zillmer methodology
  • Tax reserves and tax DAC
GAAP
  • FAS 60 segmented
  • FAS 120 for mutual companies
  • Purchase GAAP for VOBA and other intangibles
  • Limited pay deferred profit liability
  • Loss recognition testing
  • DAC recoverability
Economic
  • Economic reserves for reinsurance, reserve financing, and other applications
  • Economic capital for ORSA, pricing, and other applications

Output and Analysis

PolySystems produces a wide variety of standard and custom output.   We offer a vast library of predefined reports, including GAAP and statutory balance sheets, income statements, cash flow statements and over 280 other valuation and projection reports applicable to a multitude of modeling applications.  These reports are available at the seriatim level, in aggregate, or on a grouped (e.g. cohort) basis.

Detailed audit reports can be generated for hand checking calculations or sharing with auditors.  The software also includes a robust report writer for developing custom PolySystems reports.  For complete flexibility, detailed data files are available containing every calculated variable.  These can be uploaded to any data warehouse for use with third party reporting applications.

 

We encourage you to contact us for further inquiries or to request a demo.