Abstract

Journal of Actuarial Practice

Volume 10, Numbers 1 and 2, 2002


A Improving Mortality: A Rule of Thumb and Regulatory Tool

John H. Pollard

Abstract

We develop a simple exact formula for determining cohort life expectancies under constant continuous uniform improvement in mortality using only a cross-sectional (period) Gompertz life table for the lives concerned and a simple approximation applicable to all life tables. The present values of annuities for such lives can be determined simply and accurately across the whole age span.

Key words and phrases: Gompertz, life annuities, cohort mortality, cross-sectional mortality, period life table.

Corresponding Author:

John H. Pollard

Division of Economic and Financial Studies

Macquarie University

NSW 2109

AUSTRALIA


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