Topics that might become the subject of a standard are identified either as a result of our own research or from external sources, including submissions from interested parties. In particular, we maintain a regular liaison with the Actuarial Profession regarding areas of practice for which new standards may be required.
When we identify a topic as potentially requiring the issue of a standard, we undertake a programme of research and informal consultation, in which we look at the relevant conceptual issues, existing pronouncements and practice in the United Kingdom and overseas and the economic, legal and practical implications of the introduction of particular actuarial requirements.
When we have debated the issues that have been identified, we normally publish a consultation paper. In the case of a new standard or substantial revision to an existing standard, the first consultation document normally identifies the relevant issues, together with policy options and questions on which we would like respondents to express their views.
Once we have given due consideration to the responses to the consultation paper, we develop and publish an exposure draft of the proposed content of the standard. Where exposure drafts would cause changes to be made to other previously issued publications, any such consequential changes are identified. Respondents are invited to comment on the content and also to indicate their views on the time needed (if any) to prepare for implementation of the standard.
We refine the text of the proposed standard in the light of feedback on the exposure draft. If we deem it necessary, there may be a further period of public or selective consultation before the standard is issued. Once the text has been finalised and approved by the Board, we publish the standard and announce its start date, which will be set sufficiently into the future to enable those who will be affected by the standard to prepare for its implementation.
All consultation papers and exposure drafts are published on our web site and their publication notified to relevant parties, including actuaries and those who have registered their interest with us. Responses to our consultations and exposure drafts are also published on our web site, unless the respondent requests confidentiality. Although we give full and proper consideration to the responses and weigh carefully the views of interested parties, the ultimate content of a standard is determined by the Board based on research, public consultation and careful deliberation about the benefits and costs of providing the resulting information.
In the case of minor revisions to an existing standard, or revisions that reflect changes in external circumstances and which leave no real scope for debate about the required revisions, we may proceed straight to an exposure draft. In rare cases, where the revisions are of such a minor nature that even an exposure draft is unnecessary (for example because the change relates to a legislative cross-reference which has been altered), we may proceed straight to an amended version of the standard without any public consultation.
If circumstances arise in which it becomes a matter of some urgency that a new standard should be written or an existing standard amended, we issue an ‘urgent issue’ standard, adopting an expedited development process commensurate with the urgency of the circumstances.
The material on this page is derived from the Board’s Scope & Authority of Technical Standards
