I should add that I'm pretty sure the actuarial derivatives pay out based on population-level official government statistics. They aren't based on the death ra

I should add that I'm pretty sure the actuarial derivatives pay out based on population-level official government statistics. They aren't based on the death rate of the population actually insured by one insurer, and the insurer has to hope that their insured population is similar to the population as a whole, or is at least predictably and consistently offset from the general population so that the hedges are strongly correlated with expenses.