Optimal control of continuous life insurance model

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Дата

2017

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Видавець

Investment Management and Financial Innovations

Анотація

The problems of mixed life insurance and insurance in the case of death are considered in the article. The actuarial present value of life insurance is found by solving a system of diаerential equations. The cases of both constant eаective interest rates and variables, depending on the time interval, are examined. The authors used the Pontryagin maximum principle method as the most efficient one, in order to solve the problem of optimal control of the mixed life insurance value. The variable eаective interest rate is considered as the control parameter. Some numerical results were given.

Опис

Viktor Oliynyk, Fedir Zhuravka, Tetiana Bolgar and Olha Yevtushenko (2017). Optimal control of continuous life insurance model. Investment Management and Financial Innovations, 14 (4), 21-29. doi: 10.21511/imfi.14(4).2017.03 https://businessperspectives.org/journals/investment-management-and-financial-innovations/issue-268/optimal-control-of-continuous-life-insurance-model

Ключові слова

actuarial value, control, insurance, function, life, insurance, model

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