Design and Risk Management in Life Insurance

Course content

Selection of topics in life insurance with an emphasis on product design and risk management. In particular, classic with-profit and unit-linked products are revisited from a design and risk management perspective, taking into account the preferences of insured, insurers, and other parties. Stochastic optimal control constitutes the theoretical foundation. Specific topics could include but are not limited to: Consumption-Investment-Insurance problems, robust optimization, consumption smoothing, and mortality and longevity modeling.

To attend the final oral exam, a mandatory assignment has to be approved and valid.

Education

MSc Programme in Actuarial Mathematics

Learning outcome

Knowledge:

  • In-depth understanding of selected topics related to product design and risk management in life insurance
  • Basic insight into stochastic optimal control theory

 

Skills:

  • Formulate and formalize optimal control problems
  • Apply standard solution strategies to simple optimal control problems
  • Recognize patterns across problems and solutions
  • Relate the mathematical insights to product design and risk managament in practice

 

Competences:

  • Read, digest, and reflect on actuarial research papers
  • Discuss advantages and disadvantages of different theoretical approaches.

 

In addition to the knowledge, skills, and competences listed above, additional knowledge, skills, and competences are developed depending on the final selection of topics.

4 hours of lectures each week for 7 weeks. In addition to this, a total of 2 times 2 hours of exercise classes. Active participation is expected.

The course material will mainly consist of research papers from actuarial journals, which are made available on Absalon.

Mathematical Finance and Topics in Life Insurance (Liv2).

Academic qualifications equivalent to a BSc degree is recommended.

Written
Oral
Individual
Collective
Continuous feedback during the course of the semester

Individual written feedback in connection with the mandatory assignment. Collective oral feedback in connection with the mandatory assignment. Continuous feedback also in connection with the exercise classes.

ECTS
7,5 ECTS
Type of assessment
Oral examination, 30 minutes (no preparation)
Exam registration requirements

To attend the oral exam, the mandatory assignment has to be approved and be valid.

Aid
Without aids
Marking scale
7-point grading scale
Censorship form
No external censorship
Several internal examiners
Re-exam

Same as the ordinary exam.

To attend the re-exam, the mandatory assignment must be approved and valid. If the mandatory assignment was not approved and valid before the ordinary exam, it must be (re)submitted no later than three weeks before the beginning of the re-exam week.

Criteria for exam assessment

The student must in a satisfactory way demonstrate that they have mastered the learning outcome of the course.

Single subject courses (day)

  • Category
  • Hours
  • Lectures
  • 28
  • Preparation
  • 133
  • Exercises
  • 4
  • Exam Preparation
  • 40
  • Exam
  • 1
  • English
  • 206

Kursusinformation

Language
English
Course number
NMAK24003U
ECTS
7,5 ECTS
Programme level
Full Degree Master
Duration

1 block

Placement
Block 4
Schedulegroup
C
Capacity
No limitation – unless you register in the late-registration period (BSc and MSc) or as a credit or single subject student.
Studyboard
Study Board of Mathematics and Computer Science
Contracting department
  • Department of Mathematical Sciences
Contracting faculty
  • Faculty of Science
Course Coordinators
  • Philipp Carsten Hornung   (4-81747980517e7285793f7c863f757c)
  • Christian Furrer   (6-798885857885538074877b417e8841777e)
Saved on the 14-02-2024

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