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National College Credit Recommendation Service

Board of Regents  |  University of the State of New York

LOMA | Evaluated Learning Experience

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Financial Aspects of Annuities (AAPA 313)

Location: 
Independent study and proficiency examination program administered from the central offices of LOMA.
Length: 

Varies-independent study.

Dates: 

Version 1: May 2000 - April 2007. Version 2: May 2007 - December 2015.

Instructional delivery format: 
Proficiency exam
Learner Outcomes: 

Version 1: Upon successful completion of the course, students will be able to: explain basic financial concepts, including the time value of money, and how they relate to annuities; discuss investment principles and how they relate to annuities; describe the factors involved in calculating annuity cost factors; and discuss financial aspects of pension plans. Version 2:  Students will be able to: describe the annuity product development process; explain basic financial concepts, including the time value of money, and how they relate to annuities; discuss investment principles and how they relate to annuities; describe how insurers calculate annuity values and annuity reserves; and explain how insurers use quantitative modeling in product design, product management, and enterprise risk management.

Instruction: 

Version 1: Major topics include: product development; pricing annuities; investing and portfolio management; time value of money calculations; calculating annuity cost factors and other annuity charges; cash values for annuities; testing the financial product design; financial aspects of pension plans. Version 2: This course describes the technical elements of individual nonqualified annuity products and related financial concepts. Major topics include: new annuity product development; technical design of annuities;company expenses in annuity design; principles of annuity mortality; accumulation value and interest earnings; investing and investments for annuities; time value of money calculations; annuity reserves and reserve valuation; risk management and annuities; financial modeling for insurance companies; annuity performance measures, and testing for annuity profitability.

Credit recommendation: 

Version 1 and 2: In the upper division baccalaureate degree category, 2 semester hours as an elective in Insurance or Business Administration (1/01) (7/06 revalidation) (6/12 Administrative Review). NOTE: When a student completes more than one course with an AAPA course number and the credit recommendations for these courses total 3 semester hours, the combined credit recommendation is equivalent to a semester-length course in Annuities. Further, when a student completes more than one course with an AAPA course number and the credit recommendations for these courses total 6 semester hours, the combined credit recommendation is equivalent to two semester-length courses in Annuities.

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