Mortality Assumption

(redirected from Underlying Mortality Assumption)

Mortality Assumption

A statistical estimate of the number of deaths a life insurance company expects to occur over a given period of time. The mortality assumption influences the underwriting decisions an insurer makes.

References in periodicals archive ?

While the slope of the underlying mortality assumption is a key dynamic for understanding the impact of the mortality improvement assumption, the process for setting the baseline assumption is beyond the scope of this article.

The impact of life: how mortality improvement affects the life insurance industry today

Myles Pink, partner in LCPs insurance de-risking team concludes: Given the uncertainty, pension schemes looking to hedge longevity risks should assess insurer and reinsurer pricing against a range of underlying mortality assumptions when assessing value-for-money and should consider likely supply and demand pressures in the insurance and reinsurance markets when considering whether to remove longevity risk at todays price.

United Kingdom : LCP survey reveals 60% think slowdown in longevity improvements is new norm