Life Insurance Settlement Association (LISA) has introduced a new life expectancy (LE) calculator, to help users better understand recently released common LE tables. The calculator is available free for members and $500 non-members.

According to the LISA, the benefits of the calculator include: automatically calculates and graphs LEs, makes quick LE estimates, with a simple click & go system; compares 2010 LISA tables to both the 2001 and 2008 VBT integrated tables, an educational tool, allows industry professionals to gain a better understanding of LE analysis and allows a user to see how various features of the calculator will can affect an LE, like the ‘Mortality Multiplier’ feature.

LISA has said that Scott Gibson and Jackie Lee of Lewis & Ellis, actuaries & consultants in Dallas, created the LE Mortality Calculator to help users make optimal use of the LISA tables. The calculator was donated to LISA.

Mr Gibson, said: Our original creation of the spreadsheet (November 2008) was the result of many, many inquiries back in 2008 about the differences between the 2001 VBT and the 2008 VBT tables. Our handy tool answers those questions quite readily, and much more. We have now updated it to include the latest LISA CAT tables for yet more comparisons.

Mr Lee said: The tool serves many purposes, someone could use the calculator to compare different pieces of the life expectancy, such as the age, gender, smoking status, and underlying mortality tables. It also provides graphs of the probabilities of death per 1,000 and the number of deaths out of a 1,000 life cohort for the more visual learners.