AXIS Universal Life Module

The AXIS Universal Life module supports creating and managing the base actuarial models of flexible premium, fund based Universal Life products, including a wide variety of face amount designs and accumulation fund investment options. Underlying funds can be backed by the general account assets or segregated/separate funds for Variable UL options.

The AXIS Universal Life module contains a comprehensive collection of features for modeling UL insurance policies, including:

  • Variable Universal Life
  • Specified premium and shadow account no lapse guarantees
  • Multiple policyholder investment accounts of various types
  • Policy loan modeling
  • Integrated reinsurance of various forms under multiple treaties
  • Modeling policy riders with base policy
  • Multiple Life policies and multiple decrement assumptions
  • Policyholder behavior modeling
  • Dynamic Valuation (adjustment of valuation assumptions over time in financial projections)

Premiums can be automatically adjusted to meet funding targets or to prevent forced lapse.

The AXIS Universal Life module includes comprehensive support for the calculation of the current and projected policy liabilities under IFRS 17 and US GAAP LDTI. In addition multiple other valuation methods are supported, both old and new, US and International, including:

  • US Principles-Based Valuation (VM-20)
  • Policy Premium Method (PPM)
  • Commissioners Reserve Valuation Method
  • XXX reserves, NAIC Model Regulation 830
  • AXXX reserves, NAIC Actuarial Guideline XXXVIII
  • Variable Life GMDB reserves
  • NAIC Actuarial Guideline XXXVII
  • New York Regulation 147

Reserves can be calculated on the fly from first principles and up to six reserve bases may be run simultaneously. Required capital adjustments can be based on RBC, LICAT or Solvency II, and on a company's internal capital standards, with up to three of these calculated simultaneously.

The AXIS Universal Life module is frequently used for:

  • Pricing, design and profitability analysis
  • Valuation
  • Financial statement projections
  • Statistics on projected number of lives and total face amounts
  • Cashflow projection and testing
  • Surplus adequacy testing
  • Required Surplus
  • Illustration actuary testing
  • Embedded Value and appraisal values
  • Asset liability management
  • Margin analysis
  • Aggregate stochastic reserve and capital requirement based on CTE methodology
  • NAIC Financials
  • US GAAP Financials