Normal view MARC view ISBD view

The Impact of Longevity Improvements on U.S. Corporate Defined Benefit Pension Plans [electronic resource] / John Kiff.

By: Kiff, John.
Contributor(s): Kisser, Michael | Oppers, S.E | Soto, Mauricio.
Material type: materialTypeLabelBookSeries: IMF Working Papers; Working Paper: No. 12/170Publisher: Washington, D.C. : International Monetary Fund, 2012Description: 1 online resource (34 p.).ISBN: 1475505183 :.ISSN: 1018-5941.Subject(s): Demographic Economics | Life Expectancy | Longevity Risk | Mortality Table | Mortality Tables | Pension | United Kingdom | United StatesAdditional physical formats: Print Version:: The Impact of Longevity Improvements on U.S. Corporate Defined Benefit Pension PlansOnline resources: IMF e-Library | IMF Book Store Abstract: This paper provides the first empirical assessment of the impact of life expectancy assumptions on the liabilities of private U.S. defined benefit (DB) pension plans. Using detailed actuarial and financial information provided by the U.S. Department of Labor, we construct a longevity variable for each pension plan and then measure the impact of varying life expectancy assumptions across plans and over time on pension plan liabilities. The results indicate that each additional year of life expectancy increases pension liabilities by about 3 to 4 percent. This effect is not only statistically highly significant but also economically: each year of additional life expectancy would increase private U.S. DB pension plan liabilities by as much as
Tags from this library: No tags from this library for this title. Log in to add tags.
    average rating: 0.0 (0 votes)
No physical items for this record

This paper provides the first empirical assessment of the impact of life expectancy assumptions on the liabilities of private U.S. defined benefit (DB) pension plans. Using detailed actuarial and financial information provided by the U.S. Department of Labor, we construct a longevity variable for each pension plan and then measure the impact of varying life expectancy assumptions across plans and over time on pension plan liabilities. The results indicate that each additional year of life expectancy increases pension liabilities by about 3 to 4 percent. This effect is not only statistically highly significant but also economically: each year of additional life expectancy would increase private U.S. DB pension plan liabilities by as much as 4 billion.

Description based on print version record.

There are no comments for this item.

Log in to your account to post a comment.

Ⓒ 2020 Dedan Kimathi University of Technology

Library