Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5076401 | Insurance: Mathematics and Economics | 2015 | 6 Pages |
Abstract
The potential loss of insured can be affected by many nondeterministic factors, in which uncertainty always coexists with randomness. Therefore, uncertain random variables are used to describe this phenomenon of simultaneous appearance of both uncertainty and randomness in potential loss. Based on that, the upper and lower bounds of premium with uncertain random loss are given, respectively. Moreover, a mathematical model of uncertain random optimal insurance problem is established and the stop loss insurance is proved to be the optimal insurance policy and the equation for calculating the optimal deductible is arrived. Some numerical examples are also given for illustration.
Related Topics
Physical Sciences and Engineering
Mathematics
Statistics and Probability
Authors
Ying Liu, Xiaozhong Li, Yinli Liu,