Public Pension Funding Index September 2022
August markets cause decline in public pension funded ratio; down to 75.0% as of August 31, 2022.
The upcoming field tests – expected in 2023 – related to principle-based reserving for non-variable annuities (VM-22) should help the industry understand the implications on surplus volatility and required capital for fixed-indexed annuities. We encourage the insurers to participate in the tests and keep a close eye on the principle-based reserving and capital development. To that end, in this paper we: