Pricing in General Insurance

Pricing in General Insurance

<P>Based on the syllabus of the actuarial industry course on general insurance pricing ― with additional material inspired by the author’s own experience as a practitioner and lecturer ― <B>Pricing in General Insurance</B> presents pricing as a formalised process that starts with collecting information about a particular policyholder or risk and ends with a commercially informed rate. The main strength of this approach is that it imposes a reasonably linear narrative on the material and allows the reader to see pricing as a story and go back to the big picture at any time, putting things into context.</P> <P>Written with both the student and the practicing actuary in mind, this pragmatic textbook and professional reference:</P> <UL> <LI>Complements the standard pricing methods with a description of techniques devised for pricing specific products (e.g., non-proportional reinsurance and property insurance)</LI> <LI>Discusses methods applied in personal lines when there is a large amount of data and policyholders can be charged depending on many rating factors</LI> <LI>Addresses related topics such as how to measure uncertainty, incorporate external information, model dependency, and optimize the insurance structure</LI> <LI>Provides case studies, worked-out examples, exercises inspired by past exam questions, and step-by-step methods for dealing concretely with specific situations</LI></UL> <P><B>Pricing in General Insurance</B> delivers a practical introduction to all aspects of general insurance pricing, covering data preparation, frequency analysis, severity analysis, Monte Carlo simulation for the calculation of aggregate losses, burning cost analysis, and more.</P>