Actuarial valuations: points to consider
Below are the main points to consider with regard to actuarial valuations. The Supplemental Pension Plans Act remains the key resource to ensure an actuarial valuation is in conformity with all requirements.
Key considerations
Interest rates on a solvency basis
The interest rate used to discount the amortization payments on a solvency basis must be prorated to the following, according to their respective liabilities:
- the interest rate for retired members (uninsured pensions);
- the interest rate for the other members.
Actuarial Information Summary
Report referred to
The actuary who signs the actuarial valuation report must complete the Actuarial Information Summary and sign the declaration it contains in the following cases:
- The actuarial valuation is after 14 December 2009.
- The actuarial valuation is after 30 December 2008 and the measures to alleviate the effects of the 2008 financial crisis are used.
- The actuarial valuation is after 30 December 2008 in the case of pension plans for municipalities, universities, early childhood centres (CPEs) and accredited private daycares in Québec.
The Régie's specifications
The Régie gives guidance on certain lines of the Actuarial Information Summary as a complement to the instructions given on the form.
Partial actuarial valuation
Where the Actuarial Information Summary is related to a partial actuarial valuation, the actuary must fill out lines 001 to 014a, 185 to 190, 201, 204, and part VII of the summary.
For a pension plan for municipalities, universities, early childhood centres (CPEs) or accredited private daycares in Québec, the actuary must fill out lines 196 and 198 of the summary instead of lines 201 and 204.
Legal references