Actuarial Equivalent

Actuarial Equivalent

A measurement in which the payment streams on two, different insurance policies or other plans have the same present value under a given set of actuarial assumptions. It is used to compare two plans with each other.
References in periodicals archive ?
On the other hand, if the sales proceeds are divided so the surviving spouse takes the actuarial equivalent of his or her life estate and the remaindermen take the actuarial equivalent of their remainder estate, the surviving spouse will be deemed under I.
Private health plans would be required to cover at least the actuarial equivalent of the benefit package provided by fee for-service Medicare.
The model assumes that all Part D participants enroll in a plan that provides the standard benefit, or its actuarial equivalent, and do not receive any form of supplemental coverage.
Instead, the court based its finding that Monks was not entitled to damages on (1) case law holding that ERISA does not remedy procedural violations with damage awards, (2) the fact that the proposed Treasury regulations supporting Monks' arguments were never finalized and (3) the theory that Monks forfeited nothing, because his continued accruals for service beyond normal retirement age "overcomes any claimed entitlement to the actuarial equivalent of benefits [he] would have received if he had retired at age 65.
The company will support various benefit designs including the standard drug benefit, the actuarial equivalent standard benefit, the basic alternative benefit, and the enhanced alternative benefit plans.
As an actuarial equivalent, it also represents an amount of money that can be expected to grow sufficiently and replace the other future form of benefit.