Abstract
A premium calculation principle is a general rule that assigns a premium P to any given risk S. Intuitively, P is what the insurance carrier charges (apart from an expense allowance) for taking over the risk S (see [3], P. 85-87). Mathematically, S is a random variable, and 1 ) depends on S through its distribution function. The value of P may be finite or infinite; in the latter cast we speak of an uninsurable risk.
Volume
7:3
Page
215-222
Year
1974
Categories
Financial and Statistical Methods
Risk Pricing and Risk Evaluation Models
Utility Theory
Actuarial Applications and Methodologies
Ratemaking
Publications
ASTIN Bulletin
