How different rate of interest in Pricing, Reserving, Experience Work Together in Profit Testing скачать в хорошем качестве

How different rate of interest in Pricing, Reserving, Experience Work Together in Profit Testing

How different rate of interest in Pricing, Reserving, Experience Work Together in Profit Testing Linkedin   / pratap-padhi   Website https://smearseducation.com/ Join my FREE Skool Community to get all updates and support https://www.skool.com/sme-education-9... Watch my previous recordinds on CS2 Time Series 👉    • Master Time Series Forecasting:Guide to AR...   CS2 Risk Modelling and Survival Analysis 👉   • Why One Random Variable Is Not Enough for ...   👉    • What is a Stochastic Process? Easy explana...   CS1 Previous recorded videos watch 👉    • CS1 Discrete Random Variables and Probabil...   CM1 Previous recorded videos watch 👉    • CM1 Simple Interest and Discount Explained...   👉    • CM1 Y Part2 Class1- A beginner's introduct...   TIMESTAMPS 00:00 Introduction and overview of profit testing example 00:21 Reading the pure endowment problem statement 00:45 Understanding pricing interest rate 01:17 Understanding reserving interest rate 01:37 Understanding risk discount rate concept 02:14 Why risk discount rate is higher than expected rate 03:00 Understanding when risk discount rate is used 03:52 Understanding zero mortality and zero expense world 04:09 Understanding why premium is single premium 05:01 Writing equation of value 05:47 Pure endowment premium formula 06:31 Calculating premium using pricing interest rate 07:19 Understanding why premium is single premium 08:01 Introduction to profit testing table 08:58 Understanding experience interest rate 09:31 Introduction to reserving calculations 10:20 Calculating reserves using reserving interest rate 12:04 Understanding reserve as expected present value of outgo 13:05 Conceptual explanation of reserving and future planning 14:39 Calculating reserves V1, V2, V3, V4 15:22 Experience interest calculation 16:01 Profit table without reserving 17:06 Understanding survival benefit 19:49 Understanding why loss appears without reserving 20:49 Introduction to profit testing with reserving 21:44 Understanding cost of increase in reserve 22:57 Calculating reserves year by year 24:46 Calculating reserve values numerically 26:01 Calculating profit after reserving 27:30 Understanding negative profit in early years 28:10 Understanding reserve growth over time 30:03 Understanding reserve per policy concept 31:03 Calculating cost of reserve increase properly 33:06 Verifying profit values 35:13 Understanding reserve release in final year 36:55 Final profit calculation explanation 37:30 Key actuarial interpretation of profit testing 38:15 Final conceptual summary DESCRIPTION This class explains profit testing in actuarial science using a real CM1 exam-style pure endowment example. You learn how to calculate premium, reserves, interest, profit, and cost of increase in reserves step by step.Profit testing is one of the most important topics in CM1 actuarial exams and real insurance practice. It helps insurance companies understand future profit, financial stability, and reserve requirements. This session focuses on pure endowment in a zero mortality, zero expense environment, which helps build clear conceptual understanding. What you will learn in this class • What profit testing means in actuarial science • Difference between pricing, reserving, experience, and risk discount rate • How to calculate single premium using equation of value • How interest rates affect premium and reserves • How to calculate reserves year by year • How to build profit testing tables • How to calculate cost of increase in reserve • How reserve release affects profit • How insurance companies ensure profit stability • How actuarial profit emerges over time • Pricing interest rate • Reserving interest rate • Experience interest rate • Risk discount rate • Equation of value • Pure endowment valuation • Expected present value • Reserve calculation • Cost of increase in reserve • Reserve release • Profit testing table construction Topics solved step by step • Calculate single premium • Calculate reserves V1, V2, V3, V4, V5 • Calculate interest earned • Calculate profit without reserving • Calculate profit with reserving • Calculate cost of increase in reserve • Understand reserve release effect By the end of this class, you will be able to • Calculate premium correctly • Calculate reserves confidently • Construct profit testing tables • Calculate cost of reserve increase • Understand how insurance profit emerges • Solve CM1 exam questions confidently #CM1 #ProfitTesting #ActuarialScience #CM1Exam #ActuarialExam #InsuranceMathematics #PureEndowment #ActuarialStudent #ReserveCalculation #InsuranceProfit #LifeInsurance #ActuarialEducation #ActuarialTraining #InsuranceValuation