Browse Research
Viewing 5951 to 5975 of 7695 results
1979
We compute a merit-rating system for automobile third party liability insurance by two different ways, b o t h with the help of an exponential utility function O) We apply the principle of zero utility to exponential utilities (n) We break the symmetry between the overcharges and the undercharges by weighing them differently through the introduction of utility function, in order to penalize the overcharges.
The results are applied to the portfol
1979
Perhaps the most important contribution the actuarial profession can make to the industry which it serves is the representation of complex insurance phenomena by means of coherent mathematical models. The intelligent formulation of a mathematical model tends to strip away much of the mystery surrounding a given insurance problem. It makes explicit the many assumptions that may be taken for granted in less rigorous approaches.
1979
It has been known for generations that the fire risk rate increases with the size of the insured object in a similar way as the death rate increases with the age. Professor d'Addario and other Italian mathematicians have shown that statistical data often can be graduated by the formulas where S denotes tile sum insured:
1979
This discussion concisely defines C-1, C-2 and C-3 risks and then demonstrates the hazards particular to mismatch (C-3) risk and presents the basic principles of immunization theory that can be used to manage this risk. The concept of a balance sheet that makes explicit contingency reserve provisions for C-1, C-2, and C-3 risks is introduced.
1979
In many estimation problems, incomplete as well as complete samples are available for Bayesian prediction. After developing the theory for a special, but useful family of distributions, examples are given in life testing, renewal risk processes, life contingencies, and the problem of estimating a defective distribution.
1979
Mr. McGuinness has made another fine contribution to the actuarial literature in several respects. First and foremost, he has weaved insurance company profitability into the main stream of general economic theory. In so doing, he has opened up new avenues for research and analysis.
1979
Up to the present, insurance researchers and theorists have tried to devise a special economic theory of insurance rather than trying to fit insurance operations into the existing economic theory. The theme of this paper is that there is not and need not be a special economic theory of risk, of insurance, or of insurers.
1979
This paper examines the balancing of the investment and liability portfolios of a (reinsurance firm operating in the international market The model captures two effects which are ignored by traditional analysts (a) According to the Interest Parity Theorem, the expected changes in the exchange rates should already be reflected m the expected rate of return on foreign investments.
1979
Let me begin by dispelling any notions as to the unbiasedness of this review. Before obtaining Mr. Stewarts' paper, I had strong opinions on how an insurance company should function in a perfect free enterprise setting and the appropriate ways to measure its success. Under the guise of putting things in perspective, I will present some of these initial biases.
1979
Investment Income/Profit Factor/Rate of Return/Risk
1979
This paper investigates a technique for developing investment assumptions for pricing that are consistent with the investment practices of the company. An investment strategy is defined to be a specific allocation of investable funds among given representative fixed-income instruments.
1979
The main ideas discussed in this paper can be briefly summarized as follows: First, although risk-mitigating arrangements 2014 specifically, risk shifting in labor markets and risk pooling in product markets 2014 suggest an explanation for certain specified features of macroeconomic fluctuations, risk-mitigating contractual arrangements are neither necessary nor sufficient to cause any particular disturbance to produce output and employment fluct
1979
This paper presents a critique of expected utility theory as a descriptive model of decision making under risk, and develops an alternative model, called prospect theory. Choices among risky prospects exhibit several pervasive effects that are inconsistent with the basic tenets of utility theory. In particular, people underweight outcomes that are merely probable in comparison with outcomes that are obtained with certainty.
1979
This paper describes an experimental survey of insurance preferences, administered to college students and clients of an insurance agency. Expected utilityt heory is contrasted with prospect theory, a recently developed alternative model of choice. The results lend more support to prospect theory than utility theory. However, insurance decisions appear more complex than either model suggests.
1978
Discussion of a method to properly determine the level of the Unearned Premium Reserve for audited risks. Unearned Premium Reserve table factors are adjusted for the delay between the end of the payroll period and the entry of the payroll premium on the insurance company's books. Premiums are then earned evenly and correctly over the policy term Examples are given for quarterly audited, monthly audited and semi-annually audited risks.
1978
In various branches of applied mathematics the problem arises of making decisions to reconcile conflicting criteria. One example is the classical statistical problem, where a type 1 error cannot be arbitrarily reduced without increasing the probability for a type 2 error. Another example, quite familiar to actuaries, is graduation, where a compromise between smoothness and fit has to be reached.
1978
The concept efficiency of a bonus-malus system was defined, apparently in a totally different way, consecutively by Loimaranta (I972) and Lemaire (1975, 1976). In this paper we start with a more general model that leads us to a definition of efficiency that contains both earlier ones as special cases.
1978
The paper discusses the problem of estimating the mean of a long-tailed claim size distribution when the investigator's knowledge of the distribution is only vague.
One method of dealing with this problem, the method developed by Johnson and Hey, is examined and found to produce strongly biased estimators.
The situation in which a sufficient statistic (but nothing else) for the claim size distribution is known is examined, and an approximately
1978
This paper is concerned with claim reserves in general insurance. General, or non-Life, insurance may be taken to include such classes of business as Motor, Liability, Property, etc., and the claim reserves with which the paper is concerned are usually described as ‘outstanding claims reserves’ or ‘reserves for claims incurred but not reported’ (I.B.N.R.).
1978
A model for estimating loss and loss expense reserves is presented in the paper. This model is extensive and the authors are to be commended for their clarity and for the enormous effort required in its preparation. However, some of the concepts of the model may be difficult to extract due to the length of the paper. In my discussion, I shall review a few of the concepts I believe to be fundamental.
1978
More than ten years ago I wrote a paper with the title "The Economic Theory of Insurance" [6]. I was not particularly happy about this paper, and I do not think it contributed much to the development of a satisfactory theory. The paper did however make me--and hopefully some readers--acutely aware of the difficulties and problems which must he overcome before a proper theory can be constructed.
1978
Reinsurance Research - Pricing/Contract Design
