CAS Exam 6C Spring 2016, Question 28
Study guide: Exam 6C
The following information is available:
- An insurance company's fiscal year-end is December 31, 2015;
- A major event impacting the company's insurance contract liabilities occurs on January 15, 2016;
- The actuary becomes aware of the event on January 20, 2016, prior to completing the year-end valuation.
Part a (0.25 points)
Define "subsequent event" according to the Canadian Institute of Actuaries.
Part b (1.25 points)
Using the subsequent event decision tree, assess whether or not this event should be classified as a subsequent event.
Answer this question and see the worked solution