Course STAT230
Life Insurance Mathematics
Course offered :
- Current semester
- Next semester
Current programmes of study
Course offered by
| Number of credits | 10 |
| Course offered (semester) | Every second spring - even-numbered years. |
| Schedule | Schedule |
| Reading list | Reading list |
Language of Instruction
English
Pre-requirements
None
Learning Outcomes
After completed course, the students are expected to be able to:
- Know the elementary interest rate theory. Be able to calculate with the different types of loan: fixed loan, series loan and annuities.
- Know mortality theory: the hazard function, remaining life length and standard expected life distributions, and select mortality.
- Insurance of a single life and multiple-life insurance: pure endowment, term insurance and endowment insurance. Calculating premiums using the equivalence principle.
- Calculate the different categories of expenses associated with the insurance.
- Deduce Thiele's differential equations for different types of life insurance.
- Calculate safety loadings and different kinds of bonus schemes.
Contact Information
advice@math.uib.no
Course offered (semester)
Every second spring - even-numbered years.
Language of Instruction
English
Aim and Content
The course gives an introduction in classical interest rate theory and basic mortality statistics. Calculation of net premiums and premium reserves are treated for various insurance covers for one or several lives. The problem of adding expenses and returning bonus is also covered.
Learning Outcomes
After completed course, the students are expected to be able to:
- Know the elementary interest rate theory. Be able to calculate with the different types of loan: fixed loan, series loan and annuities.
- Know mortality theory: the hazard function, remaining life length and standard expected life distributions, and select mortality.
- Insurance of a single life and multiple-life insurance: pure endowment, term insurance and endowment insurance. Calculating premiums using the equivalence principle.
- Calculate the different categories of expenses associated with the insurance.
- Deduce Thiele's differential equations for different types of life insurance.
- Calculate safety loadings and different kinds of bonus schemes.
Pre-requirements
None
Recommended previous knowledge
STAT220 Stochastic Processes
Assessment methods
Written examination: 5 hours Available aids: Calculator. Examination only once a year.
Grading Scale
The grading scale used is A to F. Grade A is the highest passing grade in the grading scale, grade F is a fail.
Contact Information
advice@math.uib.no