OSFI is consulting on revisions to the instruction guide for preparation of actuarial reports for defined benefit pension plans. The guide, which was last revised in October 2017, sets out the reporting requirements of actuarial reports filed with OSFI for defined benefit pension plans, including those with a defined contribution component. Comments should be provided no later than March 20, 2020. A non-attributed summary of the comments received, along with the responses of OSFI, will be posted on the OSFI website when the final version of the guide is released.
The revisions to the guide provide further details regarding the expectations of OSFI for actuarial reports. The revisions reflect:
- Additional requirements with respect to plans having a flexible benefits feature, the discount rate assumption (including a modification to the maximum going concern discount rate), and assessments of the risks
- Further clarifications of the OSFI position on mortality assumptions
- Updated requirements for plans using a replicating portfolio approach
- Further disclosure requirements with respect to membership data, stochastic modeling for indexation, and funding requirements for transfer deficiencies
- Greater clarity on other expectations and the addition of some references to legislation and guidance material
- Changes to accepted actuarial practice and other issues, if any, that have emerged since October 2017
Comment Due Date: March 20, 2020
Keywords: Americas, Canada, Insurance, Pensions, Defined Benefit, Pensions Benefit Standard Act, Reporting, Actuarial Reports, Defined Contribution, OSFI
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