Pension and Health Insurance
- Credits: 6
- Ending: Examination
- Range: 2P + 2C
- Semester: winter
- Year: 2
- Faculty of Economic Informatics
Teachers
Included in study programs
Teaching results
Completion of the course Pension and sickness insurance presupposes the science of analyze of actuarial methods and modelling in pension, health and sickness insurance.
Knowledge
The subject offers a new knowledge of actuarial science and technique of actuarial calculations in continuity with exploitation in actuarial profession. In this calculations there are need to demonstrate on skills of students suitable use actuarial models and insurance-mathematical methods.
Competences
Based on the above knowledge, students are able to comment on the calculations of benefits in miscellaneous pensions schemes and in calculations of benefits and contributions in sickness insurance by use of deterministic models and with modelling of premium magnitude by Markov chains.
Skills
As part of the educational process, they will acquire such skills that will enable students to apply in social security. They will be evaluate assets of company and to advise to management financial strategy like future actuaries, too. They expressive will be contribute to the improvement of products of insurance company.
Indicative content
1. Pension insurance – introduction. Defined contribution pension plans, defined benefit pension plans.
2. Funding and unfunding pension plans. Pension benefits and their calculation.
3. Pensions not dependent on salary. Old-age retirement and ill-health pension.
4. Pensions dependent on salary (average or final). Calculation of level of contributions. Assignation of level of assets, future benefits and future contributions.
5. Lump sum on death. Funding methods: entry age method, attained age method, current unit method, projected unit method.
6. Initial values in pension insurance. Widows and orphan pension.
7. Estimation theory for pension schemes.
8. Miscellaneous topics in health and sickness insurance. Introduction in actuarial calculations.
9. General fields of risk and indefiniteness in health and sickness insurance.
10. Annual rate of sickness, central rate of sickness, force of sickness. Assumptions of valuation of products in sickness insurance.
11. Premium calculation in sickness insurance. Commutation functions in sickness insurance. Methods of valuation of obligations. Transition probabilities and intensities . Sickness-death model.
12. Multiple-decrement models in sickness insurance. Markov homogeneous and not homogeneous time chains with ultimate space for time-continuous model.
13. Constructions of the differential equations for transition probabilities. The use of differential equations in sickness and health insurance today. Multiple decrement models.
Support literature
[1] Škrovánková, L., Simonka, Z.: Aktuárske metódy a modely v penzijnom, zdravotnom a nemocenskom poistení. H.R.G. spol. s.r.o., www.TiskovyExpress.cz 2021.
[2] Škrovánková, L.: Zdravotné a nemocenské poistenie. Bratislava: Ekonóm, 2013
[3] Škrovánková, L., Škrovánková, P.: Dôchodkové poistenie. Bratislava: Ekonóm, 2015.
[4] Booth, P., Chadburn, R., Haberman, S.: Modern Actuarial Theory and Practice. London: Chapman and Hall, 2004.
[5] Cipra, T.: Pojistná matematika: teorie a praxe. Praha: Edice Ekopress, 1999.
[6] Formulae and Tables for Examinations of the Faculty of Actuaries and the Institute of Actuaries. Cambridge: 2002.
Syllabus
1. Pension insurance – introduction. Defined contribution pension plans, defined benefit pension plans. 2. Funding and unfunding pension plans. Pension benefits and their calculation. 3. Pensions not dependent on salary. Old-age retirement and ill-health pension. 4. Pensions dependent on salary (average or final). Calculation of level of contributions. Assignation of level of assets, future benefits and future contributions. 5. Lump sum on death. Funding methods: entry age method, attained age method, current unit method, projected unit method. 6. Initial values in pension insurance. Widows and orphan pension. 7. Estimation theory for pension schemes. 8. Miscellaneous topics in health and sickness insurance. Introduction in actuarial calculations. 9. General fields of risk and indefiniteness in health and sickness insurance. 10. Annual rate of sickness, central rate of sickness, force of sickness. Assumptions of valuation of products in sickness insurance. 11. Premium calculation in sickness insurance. Commutation functions in sickness insurance. Methods of valuation of obligations. Transition probabilities and intensities . Sickness-death model. 12. Multiple-decrement models in sickness insurance. Markov homogeneous and not homogeneous time chains with ultimate space for time-continuous model. 13. Constructions of the differential equations for transition probabilities. The use of differential equations in sickness and health insurance today. Multiple decrement models.
Requirements to complete the course
30% semester written work,
70% written exam.
Student workload
Total study load (in hours): 156 hours
26 hours of lectures,
26 hours of exercise,
70 hours of self-study in preparation for the exam,
17 hours preparation for seminars,
17 hours preparation for semester written work.
Language whose command is required to complete the course
slovak
Date of approval: 10.02.2023
Date of the latest change: 15.05.2022