Good day Kevin.
Just read your article about the proposal to implement a money back guarantee for folks who delay taking their CPP benefits. Did no one consider in this proposal or any of the articles that have been written about it that the very fact that people delay their CPP benefits, or for that matter take them early, is because they’re betting against the actuarial odds of them living shorter or longer than average lives?
And that if you take away the risk of loss by being on the wrong side of that bet, that it alters the actuarial calculations that went into making that discount or premium applicable in the first place?
This is so simple and fundamental to actuarial science, and indeed the very foundation of insurance that it should go without saying by anyone with even a high school education.
Surely there are real issues that involve some level of intelligence to write about, especially among a publication that purportedly is written to an audience of supposed financial professionals.
Curt Hanselmann, CHS, Investia Financial Services Inc.