Private Premium of Endowment Last Survivor and Joint Life Insurance with Pareto Distribution
International Journal of Statistical Distributions and Applications
Volume 5, Issue 4, December 2019, Pages: 76-81
Received: Oct. 7, 2019;
Accepted: Nov. 4, 2019;
Published: Nov. 8, 2019
Views 547 Downloads 97
Hasriati, Department of Mathematics, Faculty of Mathematics and Natural Sciences, University of Riau, Pekanbaru, Indonesia
Tumpal Parulian Nababan, Department of Mathematics, Faculty of Mathematics and Natural Sciences, University of Riau, Pekanbaru, Indonesia
This paper studies a dual life insurance premium is determined with the combined status of last survivor and joint life involving two insurance participants who have a kinship relationship such as husband and wife, brother and sister, which they work in the same agency. In determining the policy to be made by the life insurance does not require two policies to be made, but enough to have only one policy. So that by having one policy expected premiums paid by life insurance participants to life insurance companies will be smaller than if you have to pay in two policies. Determination of insurance premiums dual life to be paid by an insurance party participant based on the chance of death from both life insurance participants, stating a condition that will continue as long as there is at least one member who is still alive and will cease after the death of the last person of its member, and also is an ongoing condition se long time all members of a combination of several people can survive and will stop after one of its members first dies, to determine the single premium and annual premium using the cash value of the initial life annuity from dual life insurance. Whereas the initial annuity cash value is influenced by the interest rate and discount factor and is also influenced by the combined life opportunity of the two insurance participants. Furthermore, from the chance of life will be obtained the chance of dying In formulating the chance of dying the insurance participant is used the Pareto distribution and to obtain the parameter values in the Pareto distribution the maximum Likelihood method is used. In order to obtain the chance of death and can be used to calculate a single premium and annual premium.
Tumpal Parulian Nababan,
Private Premium of Endowment Last Survivor and Joint Life Insurance with Pareto Distribution, International Journal of Statistical Distributions and Applications.
Vol. 5, No. 4,
2019, pp. 76-81.
Copyright © 2019 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/
) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
L. J. Bain dan M. Engelhardt. (1992). Introduction to Probability and Mathematical Statistics, Second Edition. Duxbury. Pacific Grove. California.
N. Bowers, L. J. Gerber dan U. Hans. (1997). Actuarial Mathematics, Second Ed. The Society Of Actuaries. Schaunburg Illinois.
D. C. M. Dickson, M. R. Hardy dan H. R. Waters. (2009) Actuarial Mathematics for Life Contingent Risk, Cambridge University Press, Cambridge.
M. B. Finan, A Reading of Life Contingency Model: A Preparation for Exam MLC/3L, Arkansas Teach University, Arkansas, 2011.
T. Futami. (1993). Matematika Asuransi Jiwa, Bagian I, Terj. Seimei Hoken Sugaku, Gekan (92 Revision), oleh G. Herliyanto. Oriental Life Insurane Cultural Development Center. Tokyo.
T. Futami. (1994). Matematika Asuransi Jiwa, Bagian II, Terj. Seimei Hoken Sugaku, Gekan (92 Revision), oleh G. Herliyanto. Oriental Life Insurane Cultural Development Center. Tokyo.
Heekyung Youn, Arkady Shemyakin, Edwin Herman, (2002). A Re-examination of Joint Mortality Functions, North Amirican Actuarial Journal Volume 6, Number 1, p. 166-170.
A. Jhon dan L. Albert. (2016). “Actuarial Analysis of Single Life Status and Multiple Life Statuses”. American Journal of Theoretical and Applied Statistics 2016; 5 (3); 123-131.
S. G. Kellison. (1991). The Theory of Interest. Richard D. Irwin Inc, Homewood.
A. Matvejevs dan A. Matvejevs, (2001) Insurance models for joint life and last survivor nenefits, Informatica, 12, 547-558.
Robert Musian, (2003). Mathematics of Interest Rate, Insurance, Social Security, and Pensiuns Prentice-Hall, London.
Roger J, Gray and Susan M. Pitts, (2012) Risk Modelling in General Insurance, International Series on Actuarial Science, Cambridge Universitas Press.
M. Rytgaard. (1990). “Estimation in the Pareto distribution”. Astin Bulletin 1990; 20; 202-216.
R. E. Walpole. (2007). Probability and Statistics for Engineers and Scientists, Eighth Edition. Pearson Education Internasional. London.
R. E. Walpole dan R. H. Myers. (2012). Probability and Statistics for Engineering and Scientist, Ninth Edition, Prentice-Hall, Boston.
Youn, H and Shemyakin, A. (2001). Pricing Practices for Joint Last Survivor Insurance, Actuarial Research Clearing House.