The actuarial memo should be prepared and signed by a qualified actuary and include the following:
- Policy and certificate form numbers.
- Brief descriptions of the type of policy, benefits, general marketing method and issue-age limits.
- Target groups.
- Whether or not coverage is offered to all debtors not older than the applicable age limit.
- Whether or not premium rates exceed prima facie acceptable rates.
- Demonstration, including numerical examples, showing the relationship between rates and premiums.
- How the creditor will be instructed to apply rates to determine the correct premiums.
- Upward rate deviations require substantiating data, including experience data and a reserve demonstration. Support for the upward rate deviation should be reconciled with the insurer's credit insurance experience exhibit.
- Signature of a qualified actuary with current date.