1. Instructor: Tao Pang Office: SAS Hall 4116
Telephone: 513-2110 Email: firstname.lastname@example.org
Office hours: Tuesday 4-5pm, or by appointment.
MA 421 or equivalent is preferred but not required. However, the student should be familiar with basic probability concepts and distributions. Knowledge of long-term models as developed in MA 412—Long-Term Actuarial Models is not assumed.
4. Course Objectives:
This course introduces students to risk management systems by developing some short-term probability models for potential losses. Short-term probability models are appropriate for most traditional property, liability, health and group insurance systems.
5. Outline of Course:
Characterizing frequency distributions and loss distributions: Characterize distributions in terms of their parameters and moments; techniques for creating new families of distributions; applications for which these distributions are used.
Frequency and severity with coverage modifications: Deductible, policy limits and coinsurances and their impacts on loss and frequency distributions.
Aggregate loss models: Probability distribution of an aggregate loss modeled as the sum of a random number of individual losses; compound distributions and their properties; tabulating a distribution by exact and approximate methods; applications; individual risk models.
7. Grade Policy
9. Attendance Policy:
The attendance policy is consistent with the Academic Regulations which can be found at
10. Disability Services for Students:
Students with a disability must contact the NCSU Disability Services.
Additional information: http://dso.dasa.ncsu.edu/