Description: The paper is an individual risk theoretical examination of annuities for the aged. Through retirement systems, social security and insurance plans, annuities for the aged are a very significant matter and are worthy of inquiry. From the Actuarial Research Clearing House 1992 Vol. 2.

Description: We give some recursive formulas involving life annuities.

Description: This paper introduces the symbolic valuation, a stochastic valuation which allows flexible interest rate and cash flow assumptions, and provides an illustration which values a simple SPDA product. From Actuarial Research Clearing House 1992, Vol. 1.

Description: At retirement, people face a choice between annuitization and self-management of liquid wealth [also called self-annuitization]. A common belief is that annuitization provides longevity insurance at the cost of liquidity. This paper argues that the desire for liquidity is actually driven by bequest motives and estate value should be the measure on the liquidity of a given strategy. The authors demonstrate that self-annuitization give more estate within a critical duration [before life expectancy] while annuitization creates more estate after that. In their second result, they compute the expected ending estate at death under these two strategies and find that, on average, annuitization creates more estate than self-annuitization under reasonable assumptions. They conclude that, as long as the same fund is being used for these two strategies, annuitization and self-annuitization just create different patterns of estates over time. However, annuitization is usually better than self-annuitization for estate creation and liquidity, on average. This is somewhat counter-intuitive to popular belief because payout annuities without a certain period do not have cash surrender values. The creation of the balance stream and the results shown in this paper have important implications on new product and marketing strategies for payout annuities.

Description: This paper studies how changes in the fractions of various groups of individuals, the survival probabilities of various types and the attitudes towards risks of the customers affect the equilibrium price of annuity contracts. From the Actuarial Research Clearing House ARCH 1989 Vol. 2.

Description: This article presents how one may find real solutions to polynomial equations by using tabulated data of the accumulated value of annuities-certain. From the Actuarial Research Clearing House 1991 VOL. 2.