Modern Actuarial Theory and Practice

Philip Booth (City University, London, UK) (Author) , Robert Chadburn (Actuarial Education Company, Worcs, UK) (Author) , Steven Haberman (City University, London, UK) (Author) , Dewi James (James, Brennan & Associates, London, UK) (Author) , Zaki Khorasanee (City University, London, UK) (Author) , Robert H. Plumb (City University, London, UK) (Author) , Ben Rickayzen (City University, London, UK) (Author)

"…The authors have updated the first edition of the book to reflect developments in the actuarial profession since the publication of the first edition in 1998, [and] to integrate theories and applications in the rapidly growing field of financial economics … . Another major development of the new edition is the introduction of a new section on actuarial applications in health insurance. … it can serve as important study material for actuarial students, as well as a desk reference for actuarial professionals in respect to practical actuarial issues."-The Journal of Risk and Insurance"The scope of this book is extensive, covering much of actuarial practice. … It should probably be in the library of a university with an extensive actuarial science program."-MAA Review"The publication of the first edition of Modern Actuarial Theory and Practice in 1998 marked an important step in the emergence of new actuarial textbooks in the English language … providing an introduction to the practical applications of modern development in actuarial science across a range of practice areas … The new edition of Modern Actuarial Theory and Practice will offer valuable additional study material to those preparing for the Core Applications examination of the UK actuarial profession, and similar-level studies in other countries, as well as being a convenient general textbook for every qualified actuary to have on their bookshelf. I congratulate the authors on bringing the material together for this book and hope that it will be widely used by students and by qualified actuaries around the world."-From the Foreword by Chris Daykin, CB, MA, FIA, Chairman, Education Committee of the Groupe Consultatif

• INVESTMENT. The widening scope of actuarial theory and practice. Investments and valuation. General principles of asset allocation. Investment risk. Portfolio selection techniques and investment modeling. LIFE INSURANCE. Fundamental features of life insurance. Nonparticipating life insurance. Participating life insurance. The regulation of solvency and its effect on the emergence of profit. Life office risks and risk management. The actuarial role in life office management. GENERAL INSURANCE. Introduction to general insurance. General insurance accounts. Premium rating. Reinsurance. Reserving. PENSIONS. Types of pension plan. Actuarial modeling of defined-benefit plans. Investment strategies for defined-benefit plans. Individual pension choices. HEALTH INSURANCE. An introduction to health insurance. Income protection insurance. Critical illness. Long-term care. Private medical insurance.