News Release: CMS Chief Actuary Nomination Requires Actuarial Independence and Qualification

WASHINGTON – Feb. 20, 2013 – In a letter to President Obama, top administration officials, and the Senate Finance Committee, the American Academy of Actuaries urges Academy membership as a requirement to fill the chief actuary position at the Centers for Medicare & Medicaid Services (CMS).

“Above all, independence and objectivity are critical for a chief actuary serving the public,” said Cecil D. Bykerk, Academy president. “The American Academy of Actuaries takes a leading role in establishing the profession’s Code of Professional Conduct and qualification standards to help ensure this impartiality.”

Of particular relevance to CMS, the Academy holds members to a standard on social insurance with guidance on the nature of social insurance and recommended practices, and explicitly states that it includes analyses of Medicare and Social Security. Because of its rigorous standards of practice and qualifications required of its members, the Academy also strongly recommends amending the criteria either in statute or current administrative procedures that chief actuaries or opining actuaries in the employ of the federal government are required to be members of the American Academy of Actuaries.

For more information, contact Doug Abrahms at 202-785-7886. For more information on the Academy, please visit: www.actuary.org.