A basic mortality table records the raw age-at-death counts from data before actuarial adjustments are applied.
Why it is used
Actuaries use these tables as a starting point when calibrating life tables, annuity assumptions, and reserves. Raw tables are useful for understanding underlying data quality before selecting graded or smoothed methods.
Claims and valuation context
Life insurers rely on mortality assumptions to value claims and liabilities. If a table source has weak data, reserve estimates can be too high or too low, which can distort pricing and solvency planning.
Underwriting use
Underwriters use mortality insight to price long-duration life and annuity products. A product written to a risk class with poorer mortality is reflected in higher premiums and stricter underwriting requirements, assuming other assumptions remain stable.
Practical example
If a raw table suggests elevated early-age mortality in a small group, the insurer may avoid relying on it directly and apply a smoothed table or add explicit margins before committing rates.