The Board for Actuarial Standards (BAS) has today issued its technical actuarial standard on modelling (to be known as TAS M), which continues its series of new outcome-focused standards. The standard will take effect in April 2011.

Jim Sutcliffe, Chairman of the BAS, commented:

“The new standard builds on our recent standards on reporting actuarial information and on data used in actuarial information, by addressing the models which underpin much of actuarial work. It aims to ensure that models used to develop actuarial information are fit for purpose, are suitably checked and documented, and that any limitations in their use and the results they generate are fully understood by users.”

The standard, which is one of the BAS’s generic standards applying to a wide range of actuarial work, includes principles on the checking and documentation of models, and of the data and assumptions which are used as inputs. It follows TAS R, the generic standard on reporting actuarial information, which was issued in September 2009, and TAS D, the generic standard on data used in actuarial work, issued in November 2009. This completes the set of generic standards. Targeted standards on actuarial work for insurance and pensions will follow.

The standard is accompanied by a document setting out some of the significant considerations in the development of TAS M.

Copies of TAS and the other documents can be downloaded from the BAS’s website at http://www.frc.org.uk/bas/standards/tas.cfm. 
 

1. The Financial Reporting Council (FRC) is the UK’s independent regulator responsible for promoting confidence in corporate reporting and governance. Its functions are exercised principally by its operating bodies (the Accounting Standards Board, the Auditing Practices Board, the Board for Actuarial Standards, the Financial Reporting Review Panel, the Professional Oversight Board and the Accountancy and Actuarial Discipline Board) and by the FRC Board. The Committee on Corporate Governance assists the Board in its work on corporate governance.
    
2. The Board for Actuarial Standards has a primary objective of promoting competence and transparency of actuarial practice by establishing and improving actuarial technical standards and ensuring that they are coherent, consistent and comprehensive.
    
3. The BAS is also publishing an analysis of the responses to the December 2009 exposure draft. It can be downloaded from the BAS’s website at http://www.frc.org.uk/bas/publications/index.cfm?mode=list&cID=36.
    
4. All media enquiries should be addressed to Louise Pryor, Director of the Board for Actuarial Standards, 020 7492 2328 or email at l.pryor@frc.org.uk.