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Profit Testing in Life Insurance Cashflows by Gamat is a document available to read on EtoBox.
What is Profit Testing in Life Insurance Cashflows about?
The document discusses profit testing as an alternative method to traditional actuarial techniques for pricing life insurance contracts. Profit testing involves explicitly modeling the cash flows in and out of the contract on an annual basis, including premiums, expenses, death benefits, investment returns, and reserves. This allows one to determine the profitability and analyze sensitivities more easily than traditional methods. The key aspects are developing cash flow expressions, establishing a profit ve
- Author
- Gamat
- Language
- EN