Pricing in General Insurance

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Insurance and Reinsurance Products

To learn how to do pricing, actuaries need have a good working knowledge of the prod-

ucts that they’ll have to price. There are several aspects to this: one aspect is the knowledge

of the risk underlying a product. For example, household insurance is an insurance product,

and to price household insurance, one needs to know that it protects against perils such

as re, ood or theft, and needs to know what the factors are that make one house riskier

than another.

Another aspect is the knowledge of the technicalities of the policy and how this affects the

risk. The most obvious elements to be considered are t ...