This session re-introduces the topic of prospective unlocking under GAAP as an alternative approach for determining benefit reserves and unamortized deferred acquisition costs. This session will be of particular interest for health insurers with "long duration" contracts that have experienced policy exchanges, rate increases or other significant events affecting the performance of their health business that could trigger prospective unlocking. Panelists will discuss recent accounting literature addressing this topic, such as Statement of Position 05-1 and FASB Statement No. 159. Examples of how to implement prospective unlocking on traditional health insurance products governed by FASB 60 will also be discussed.

This session is designed as a panel discussion for attendees with moderate experience.