The 1964 technical bases for individual life and pension insurance in Sweden

Abstract

Abstract For a long time the Swedish life insurance companies have used technical bases in individual ordinary insurance common to almost all the companies. The first technical bases of this kind common to the majority of the companies and comprising all types of insurance policies were adopted in the year 1928. Already these bases used a “continuous” technique, i.e. they worked from the force of interest and the force of mortality rather than from the corresponding rates. The continuous technique has been maintained in all following bases. Because of decline in the rate of earned interest, the 1928 bases were revised after a course of years. The revised bases were adopted from the beginning of the year 1935. This time the revision only comprised the rate of interest and the safety loading. From the beginning of the year 1937 provisional new bases were adopted. This time the mortality basis was changed too and a new system for the loading for expenses was introduced. The provisional bases were superseded by more definite bases of a similar kind during the year 1938.