Week 8 Detailed Learning Outcomes
Actuarial Practice #
Life insurance products #
- Describe reasons why someone might want to buy the different traditional policies of life insurance.
- Describe the features of traditional policies of life insurance
- Whole of life and Term life insurance
- Life annuities and pure endowmnet
- Endowment insurance
- Briefly describe related products
- Disability
- Trauma
- Reverse mortgages
- Explain what “lapse” and “surrender” mean and what risks these represent for the business of life insurance.
Role of the actuarial in life insurance #
- Describe the main contributions of actuaries in the following processes (which you should be able to briefly motivate and describe as well):
- Underwriting: standard rates, selection, duty of disclosure
- Pricing: principle of equivalence, interest, expenses
- Reserving: principle
- Investments
- Analysis of surplus
- Edward Tam’s interview
Additional readings #
- Describe factors impacting mortality, and discuss how to collect and use the for pricing.
- Discuss the impact of genetic testing on life insurance pricing.
- Briefly describe the impacts of COVID on mortality in 2020.
Wealth management #
- Explain why wealth management (and investments) is an natural area of practice for actuaries.
- Explain what asset-liability managment is, and why it is not a trivial problem
- Briefly list the typical asset classes a company may want to invest in.
- Explain the difference between strategic and tactical asset allocation.
- Briefly contrast cash flow matching with immunisation (at a high level), ane explain why these are relevant to actuarial work.