Group life or health policy term requiring a new member (or a member increasing cover) to be at work or on holiday on the day of joining or increasing the cover, and not absent due to sickness or industrial action. Cover may begin on the employee’s return to work, either automatically or with the insurer’s consent.
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Some group health insurance policies stipulate that if an employee is not actively at work on the day the policy goes into effect, the coverage will not begin until the employee return to work.

A health policy term that may be used to define incapacity or disability for manual workers. A worker unable to perform activities that include skills such as dexterity, mobility and communication may be disabled for the purpose of the policy while able to undertake other activities not dependent on those skills.

Assumptions made by an actuary as a basis for the figures and estimates needed for an actuarial valuation. The assumptions are based around life expectancy, inflation, earnings levels and income from pension scheme investments. See ACTUARIAL REPORT.
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Mediical/US:1. Characteristics used in calculating the risks and costs of a plan (i.e., age, sex, and occupation of enrollees; location; utilization rates; and service costs) to calculate premium rates and reserves. 2. In relation to pension plans, these assumptions affect the amount of the yearly contribution to adequately fund a defined benefit pension plan (DBPP).

Indicates either or both of the valuation method and the actuarial assumptions made for the purpose of an actuarial valuation.

Issued by an actuary arising out of actuarial work. The work may include: (a) carrying out the solvency test required by some contracted out schemes; (b) certifying to the IR that pension scheme surpluses have been dealt with as required under ss.599A602, ICTA 1988; (c) the position on the minimum funding requirement under the Pensions Act 1995 ss.56-60; (d) the bulk transfer certificate under Regulation 12 of the Occupational Pension Schemes (Preservation of Benefit) Regulations 1991 (SI 1991/167).

Amount by which the actuarial valuation of a pension scheme’s assets is less than the actuarial liability.

For FSMA purposes, it is a firm (including a sole practitioner) that is managed and/or controlled by individuals who are members of the Institute of Actuaries or Faculty of Actuaries and who are entitled to practise the profession of actuary (typically a consulting firm). Actuarial firms that carry on regulated activities must either become an authorised professional firm to carry on regulated activities, or apply to the Institute for a designated professional body (DPB) licence. The activities are then classed as exempt regulated activities as set out in the DPB Handbook as they are incidental to the firm’s professional services.

A required FSA function. See APPOINTED ACTUARY.

The extra pension granted to a pension scheme member who has deferred his pension beyond normal retirement age.

The amount, using actuarial assumptions and methods, a pension scheme will have to pay out as pension benefits and expenses after the date of the actuarial valuation. It includes the present value of instalments of pensions in payment and related contingency benefits, the present value of future payments in respect of deferred pensioners and a provision for all active members.