SoJ-ITT-SocSec Actuarial reviews of the Social Security, Social Security Reserve, Health Insurance a...

The Social Security Department is seeking to tender for a resource to undertake actuarial reviews of the Social Security Fund (SSF) (including the Social Security Reserve Fund) (SSRF), the Health Insurance Fund (HIF) and the Long Term Care Fund (LTCF).

There is a legal requirement for an independent actuary to carry out these reviews.

Actuaries have the skills and expertise to:
• verify the underlying administrative data, population modelling and assumptions
• understand how the Fund’s activities work
• understand what factors will affect the running of Fund’s activities in the future
• understand the risks facing the Fund and their potential impact
• model the Fund’s activities
• produce long term actuarial projections

Actuarial reviews of these funds are legally required every three or five years, depending on the fund. This timetable will be amended to a four year timetable to fit in with the government’s strategic and financial planning cycles. The reviews for the SSF (and SSRF) and the HIF have not been tendered for before. This will be the first review for the LTCF.

The reviews are required in 2018 to inform the Social Security Scheme policy review and the government’s next strategic plan and medium term financial planning cycle.

In addition to the actuarial reviews, the actuary/ies will also support the development of new policy areas. This could be by providing further advice directly to help the government develop its long term strategies and policies for these schemes. Alternatively, the actuary/ies could work with the Department or other external experts to provide this support.

For example, advice may be sought on:

- The effects of changes in the contribution rates or transfers from general government revenues.
- Options for adjusting the level of the scheme’s reserves in line with the changing demographic profile over the next 30 years
- The effects of changing economic activity rates of the over 65s on the scheme
- The effects of an increase in the pension age beyond 67 (timetabled to take place 2020-2031)