Life Insurance

Objectives

The main objectives are based in the “Core Syllabus for Actuarial Training in Europe” proposed by the  “Groupe Consultatif des Associations D’Actuaires des Pays des Communautes Europeennes”. Firstly the students are supposed to get knowledge about financial mathematics, which are needed to solve actuarial mathematics problems. Then, the students study mortality models. Finally, the students obtain knowledge concerning some mathematic models particular important in life insurance, health insurance and pension funds.

General characterization

Code

10806

Credits

6.0

Responsible teacher

Rui Manuel Rodrigues Cardoso

Hours

Weekly - 4

Total - 62

Teaching language

Português

Prerequisites

Available soon

Bibliography

Barroso, M. de Nazaré;. Couto, Eduardo; Crespo, Nuno. Cálculo e instrumentos Financeiros: da prática para a teoria, Escolar editora 2008

Bowers, Gerber, Hickman, Jones and Nesbitt. Actuarial mathematics (second edition). Itasca, Illinois: The Society of Actuaries, 1997.

Dickson, D.C.M., Hardy, M.R. and Waters, H.R.. Actuarial Mathematics for Life Contingent Risks. Cambridge University Press, 2009

Garcia, J.A. e Simões, O.A.. Matemática Actuarial: Vida e Pensões. Almedina. 2010

Gerber, Hans U. Life insurance mathematics (third edition). Springer-Verlag, Berlin, 1997.

McCutcheon, J. and Scott, W. An Introduction to the Mathematics of Finance. The Institute of Actuaries and the Faculty of Actuaries, 1998.

Neill, A. Life contingencies. Butterworth-Heinemann, Oxford, 1992.

Silva, A. Matemática das Finanças. Vol I. McGraw-Hill, 1995

Teaching method

The subjects to study are exposed in an oral way, motivating by this way the students to study by themselves and simultaneously some points of interest are referred. Then the students are asked to work out the proposed exercises and all the doubts concerning these exercises are then discussed. The lectures are in a computer laboratory and the proposed exercises are worked out using computational tools.

Evaluation method

  1.  Frequency: Obtained with at least two thirds of attendance of classes taught
  2. Continuous Evaluation:
      a. The continuous assesment is composed of 2 tests and one practical assignment.
      b. Let T1 and T2 the grades obtained in each test by cronological order.
      c. Let NN=0.5*T1+0.5*T2+
      d. The student succeed if NN>=9.5
  3. Evaluation by exam
      a. Let ER be the grade obtained in the Exam.                      
      b. The student succed if ER>=9.5
  4. Examination:
      a. Each test is written, individual and with consultation of a form, if it is needed. 
      b. Each test is evaluated of 0 the 20 values, with rounding to tenth. 
      c. It does not have daily pay-registration in the tests. 
      d. It is necessary to take a notebook, calculator  and a document of identification with photograph (e.g., Identity or Student cards) to the examination.
      e. Any fraud implies to fail.

Subject matter

  1. Review of Financial calculus
  2. Mortality
  3. Life Annuities
  4. Life insurance

Programs

Programs where the course is taught: