The Illustration for the Application of Asset Share in Premium
With a case of whole life insurance, on the base of the actuarial theory of life insurance, this paper accounts for the theoretical foundation of the pricing method of asset share, establishes an intact theoretical framework, and simulates the process that the insurance company ascertains gross premium. In addition, for a real policy, the intact cash flow table is made out. This paper has valuable reference for further systematic study.
Key words: Premium; Asset share; Surplus; Profit; Cash flow
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