This course provides an introduction to the development and assessment of statistical models used in actuarial science. For each model, equal time will be given to theory, estimation, and the application to insurance and/or risk management problems. Subject areas to be covered include:
- Survival, severity, frequency and aggregate models
- Estimation theory/methods and goodness of fitness tests
- Credibility methods including Bayes and empirical Bayes
Upon successful completion of this course, students will be able to identify steps in actuarial modeling, comprehend the implicit assumptions in the chosen model(s), identify which assumptions are applicable in a given business context, and make necessary adjustments to the models, as required.