Ebook: Fundamentals of Actuarial Mathematics, Second Edition

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):