Fundamentals of Actuarial Mathematics: Promislow/Fundamentals of Actuarial Mathematics

This book provides a comprehensive introduction to actuarial mathematics, covering both deterministic and stochastic models of life contingencies, as well as more advanced topics such as risk theory, credibility theory and multi-state models. This new edition includes additional material on credibility theory, continuous time multi-state models, more complex types of contingent insurances, flexible contracts such as universal life, the risk measures VaR and TVaR. Key Features: Covers much of the syllabus material on the modeling examinations of the Society of Actuaries, Canadian Institute of Actuaries and the Casualty Actuarial Society. (SOA-CIA exams MLC and C, CSA exams 3L and 4.) Extensively revised and updated with new material. Orders the topics specifically to facilitate learning. Provides a streamlined approach to actuarial notation. Employs modern computational methods. Contains a variety of exercises, both computational and theoretical, together with answers, enabling use for self-study. An ideal text for students planning for a professional career as actuaries, providing a solid preparation for the modeling examinations of the major North American actuarial associations. Furthermore, this book is highly suitable reference for those wanting a sound introduction to the subject, and for those working in insurance, annuities and pensions.Content: Chapter 1 Introduction and Motivation (pages 1–6): Chapter 2 The Basic Deterministic Model (pages 7–36): Chapter 3 The Life Table (pages 37–44): Chapter 4 Life Annuities (pages 45–59): Chapter 5 Life Insurance (pages 60–75): Chapter 6 Insurance and Annuity Reserves (pages 76–100): Chapter 7 Fractional Durations (pages 101–114): Chapter 8 Continuous Payments (pages 115–135): Chapter 9 Select Mortality (pages 136–142): Chapter 10 Multiple?Life Contracts (pages 143–163): Chapter 11 Multiple?Decrement Theory (pages 164–181): Chapter 12 Expenses (pages 182–188): Chapter 13 Survival Distributions and Failure Times (pages 189–204): Chapter 14 The Stochastic Approach to Insurance and Annuities (pages 205–227): Chapter 15 Simplifications Under Level Benefit Contracts (pages 228–237): Chapter 16 The Minimum Failure Time (pages 238–257): Chapter 17 The Collective Risk Model (pages 259–290): Chapter 18 Risk Assessment (pages 291–307): Chapter 19 An Introduction to Stochastic Processes (pages 308–323): Chapter 20 Poisson Processes (pages 324–331): Chapter 21 Ruin Models (pages 332–360): Chapter 22 Credibility Theory (pages 361–388): Chapter 23 Multi?State Models (pages 389–405): This book provides a comprehensive introduction to actuarial mathematics, covering both deterministic and stochastic models of life contingencies, as well as more advanced topics such as risk theory, credibility theory and multi-state models. This new edition includes additional material on credibility theory, continuous time multi-state models, more complex types of contingent insurances, flexible contracts such as universal life, the risk measures VaR and TVaR. Covers much of the syllabus material on the modeling examinations of the Society of Actuaries, Canadian Institute of Actuaries and the Casualty Actuarial Society (SOA-CIA exams MLC and C, CSA exams 3L and 4). Contains a variety of exercises, both computational and theoretical, together with answers, enabling use for self-study. An ideal text for students planning for a professional career as actuaries, providing a solid preparation for the modeling examinations of the major North American actuarial associations. Furthermore, this book is a suitable reference for those wanting a sound introduction to the subject, and for those working in insurance, annuities and pensions "Actuarial work is the application of mathematics and statistics to the analysis of financial problems in life insurance, pensions, general insurance and investments. This unique introduction to the topic employs both a deterministic and stochastic treatment of the subject. It combines interest theory and life contingencies in a unified manner as well as covering basic risk theory. Fundamentals of Actuarial Mathematics presents the concepts in an original, accessible style, assuming a minimal formal background." This book will be invaluable to senior undergraduate and graduate students, as well as actuarial professionals working in the life insurance or pension fields. Applied mathematicians and economists will also benefit greatly from the clear presentation and numerous examples. Providing a basic introduction to actuarial mathematics, this work covers all the material on the modeling examinations of the Society of Actuaries and the Casualty Actuarial Society (SOA exam M and CSA exam 3)