Mark J. Freedman, FSA 1980, MAAA

Principal, Ernst & Young LLP, Philadelphia, PA

Brief description of the type of work you currently do:

Provide advisory services to the life insurance industry.

Primary Area of Practice:

Life Insurance

Professional Background:

Mark has more than 30 years of experience in the life insurance industry, including over 25 years of consulting experience.

He has extensive experience in the following areas:

• GAAP experience includes GAAP conversions for large companies, GAAP for non-U.S. business, Purchase GAAP, forecasting and earnings analyses, FAS 157 analyses, and FAS 159 pilot tests
• IFRS experience includes education sessions, conversion efforts for global companies, and substantial research on profit emergence under Fair Value type standards
• Economic capital and market consistent embedded value reviews
• U.S. Statutory financial reporting
• Mergers and acquisitions and modeling, including modeling of companies and blocks of business, actuarial appraisals, demutualizations, mutual company mergers, and due diligence work
• Leads actuarial audit support efforts at large life insurance companies

Mark holds a Bachelor of Arts from the University of Pennsylvania.

Volunteer Experience:

Mark currently serves on the Board of Directors for the Society of Actuaries and is the Society of Actuaries' representative on the Insurance Accounting Committee of the International Actuarial Association. In the past, Mark served as a member of the Life Operating Committee of the Actuarial Standards Board and as the Chair of the Financial Reporting Section Council of the Society of Actuaries. Mark has presented frequently at insurance industry functions, including the SOA's Basic and Advanced GAAP teaching sessions for several years. He is also a past President of the Actuaries Club of Philadelphia and coauthor of the Society of Actuaries' textbook, U.S. GAAP for Life Insurers–Second Edition.

Vision Statement:

The largest challenge is to avoid a slide towards obsolescence, as a result of (1) insurance industry global consolidation, (2) shrinking of defined benefit pension plans, (3) blurring of lines between insurers and other financial institutions, (4) other professions competing with us for talented people, and (5) the public being unaware of who we are. The strategic plan addresses that challenge head on, starting in the mission and vision statements. The real key, however, will be in how effectively we implement that strategy.

The Map notes that the SOA should enhance partnerships and relationships with other actuarial organizations globally to strengthen the image and connect the entire profession. Given the small amount of actuaries and the inefficiency of having several organizations with a similar focus, we need to explore a merger of at least the major North American organizations.

The Map also addressees this challenge by recommending that we establish and expand the actuarial brand and marketing message and create new areas of practice. Our movement in the risk management area with our new CERA designation is an excellent start. Now we need to move to banking and other financial institutions. Not only are risks in these financial institutions similar to risks taken by insurers, but many banking executives have been moving into the role of top management in insurers.

If we carefully implement the strategic plan, we will not only avoid obsolescence, but we will thrive.