# Life Insurance Mathematics

• ECTS credits10
• Teaching semesterSpring
• Course codeSTAT230
• Number of semesters1
• LanguageEnglish
• Resources

## Teaching semester

Every second spring - even-numbered years.

## Objectives 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.

## Required Previous Knowledge

The course is based on a least 30 ECTS Mathematics and 30 ECTS Statistics.

## Recommended Previous Knowledge

Calculus, Linear Algebra, Statistics, and Stochastic Processes, corresponding to the courses MAT111, MAT112, MAT121; STAT110, STAT111, and STAT220.

None

## Forms of Assessment

Due to coronavirus situation the exam will spring semester 2020 be digital oral exam. Grading scale ¿Pass/Fail¿ instead of ¿A-F¿

Examination support materials: Non- programmable calculator, according to model listed in faculty regulations

Examination only once a year.

## Exam information

• For written exams, please note that the start time may change from 09:00 to 15:00 or vice versa until 14 days prior to the exam.

• ### Type of assessment: Written examination (New exam)

Examination system
Inspera
Digital exam