The Office of the Superintendent of Financial Institutions (OSFI) has issued a guide to inform the pension industry of its current filing and reporting requirements for actuarial reports for DB plans filed pursuant to Subsection 12(2) of the Pension Benefits Standards Act, 1985 (PBSA).
The new Instruction Guide updates the one that was issued in April 2012 to reflect changes to Canadian Institute of Actuaries standards of practice—practice-specific standards for pension plans (CIA standards), OSFI’s position regarding alternative settlement methods and other issues that have emerged in the past two years.
OSFI expects actuaries to follow the CIA standards and to consider the recommendations contained in the educational notes when preparing actuarial reports. OSFI relies on the actuary’s work but may direct the plan administrator to have an actuarial report revised if, in the superintendent’s opinion, the report has not been prepared:
- on the basis of actuarial assumptions or methods that are adequate and appropriate; and
- in accordance with the standards of practice adopted by the CIA, except as otherwise specified by the Superintendent.
The guide is available on OSFI’s website.
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