Course5(ApplicationofBasicActuarialPrinciples)StudyNote

1、Course5(Applicatio no fBasicActuarialPrin ciples)StudyNoteCourse5(Applicatio nofBasicActuarialPri nciples)StudyNote Course5(Applicatio nofBasicActuarialPri nciples)StudyNotethe exam in ati onfor this course con sists of five hours ofmultiple-choice and writte n-an swer questi ons. a read-through tim

2、e will be give n prior to the start of the exam, 15 mi nu tes in the morning sessi on and 10 minu tes in the after noon sessi on.this course develops the can didate s kno wledge of basicactuarial prin ciples applicable to a variety of finan cial security systems: life, health, and property& casualty

3、 in sura nee,ann uities,and retireme ntsystems. the can didate will berequired to understand the purpose of these systems, the design and development of financialsecurity products,theconcepts of anti-selectionand risk classification factors, andthe effects of regulationand taxation on these issues.

4、thecourse will develop the can didate s kno wledge of prin ciplesand practices applicable to the determ in ati onof premiums iand rates and the valuation and funding of these financial security systems.the final admi nistratio n of the curre nt course 5 will be inno vember of 2005. it will be replac

5、ed by fun dame ntalsofactuarial practice (fap) in early 2006. as more details are known, they will be posted to the soa web site.lear ning objectivesbasic prin ciples of desig nafter study ing the material, the can didate should be able to: expla in how finan cial security programs in teract to comb

6、at finan cial in security. expla in the meaning of finan cial in security. explai n why finan cial security programs are n ecessary ide ntify which programs are better suited to solve specific problemsa nalyze the product developme nt process. determ ine why an in stituti on would develop certa in p

7、la ns orproducts.determineif apla norproduct is necessaryandmarketable.determ ineifthispla nor product fits intotheculture ofthe institution.evaluate the competitive issuesinvo Ived with develop ing this pla n or product. determ ine the steps n ecessary to develop these pla ns or products. evaluate

8、the sett ing of assumpti ons. calculate asset shares. an alyze the results of product pricing. determine profitability measures.determ ine the effect of regulati on and taxati on on the desig n of these pla ns or products. expla in why in sura nee regulati on and taxationare neeessary. evaluate the

9、effectivenessofspecific regulati on and taxati on on finan eial security programs. structure finan cial security programs to take into acco unt the effect of specifiedtaxationand regulationassumptions.distinguishbetween the various types of financialsecurityproducts in cludi ng:life in sura nee (in

10、dividual,group) ide ntifyvarious products. expla in unique product features. select the best product to use give n a set of criteria. health (in dividual, group, gover nment spon sored) ide ntify various products. expla in unique product features. select the best product to use given a set of criter

11、ia. retirement plans (individual annuities, employer spon sored, gover nment spon sored) ide ntify various products.explainuniqueproduct features.select the bestproduct to use given a set of criteria. property and casualty in sura neeide ntifyvariousproducts. expla inuniqueproductfeatures. select th

12、e best product to use give n a set of criteria.social in sura neeide ntifyvarious programs.expla inuniquefeatures.explaindifferences and similaritiesbetweenprivatein sura nee and social in sura nee. compare the various methods of distributingthese products and the effectiveness of eachmethod. compare curre ntdistri