Undergraduate Course Descriptions

ACT3322:Actuarial Science 2. The course provides the actuarial student with a fourth and final course in Calculus to complete the building of a substantial foundation upon which subsequent quantitative skills can be attained. The first half of the course presents the concept of  Multiple Integration, emphasizing applications that will be of use in other actuarial subjects. In the second half of the course, the student will be introduced to Differential Equations and Series. These topics are an essential part of understanding the mathematics behind a number of important actuarial tools which will be used in advanced quantitative analysis of risk. Prepares students, together with ACT 3333, for actuarial society exam P.

 
ACT3333:Actuarial Science 3. The course begins with an introduction to fundamental principles, including set functions, mutually exclusive events, independence and conditional probability. With these as a background, the calculus of probability distributions is used to study probability density functions and cumulative distribution functions. Knowledge of these basic functions then allows for the development of  probabilistic properties related to the expected value, median, mode and percentiles. Finally, practical applications are emphasized in the study of  Moment Generating Functions and the Central Limit Theorem. Prepares students, together with ACT 3332, for actuarial society exam P.

 
ACT3334:Actuarial Science 4. The course covers a traditional and modern treatment of mathematics of investment; specifically it covers theory of interest, bond pricing and basic introduction to asset-liability management, plus introduction to concepts of financial derivatives markets.   The course prepares students for the preliminary exam FM of Society of Actuaries and Course 2 of the Casualty Actuarial Society.

 
ACT3335:Actuarial Science 5. Life Contingencies I. The course provides an introduction to the conceptual foundations of life contingencies, which deal with the valuation of future cash flows predicated upon death or survivorship. The course begins with a detailed presentation and analysis of the fundamental survival models that form the basis of actuarial science. This model is then applied in a variety of ways to determine the actuarial present values of benefit payments, annuities and premium payments. For all these applications. the stochastic nature of valuation is emphasized so that results are presented as both point estimates and confidence intervals.

 
ACT4336:Actuarial Science 6. Life Contingencies II. This course is designed to complete the study of Life Contingencies that was begun in ACT3335. After a review of the basic principles of expected value, variance and percentiles pertaining to the benefit, annuity and premium random variables, the concepts of Benefit Reserves are introduced. The principle of a benefit reserve represents a critically important element in the application of actuarial science in evaluating the financial viability of an insurance mechanism. This topic is then followed by a detailed analysis of the fundamental actuarial concepts (benefits, annuities and premiums) broadened to contemplate Multiple Life functions represented by Joint probability distributions. The study of Multiple Life functions then provides a basis of analysis for more sophisticated insurance products such as Joint Life and Last Survivorship.

ACT4347:Actuarial Science 7. Loss Models I. Students are expected to be familiar with survival, severity, frequency and aggregate models, and construction of empirical models. The two course sequence, ACT 4347 and 4348, prepares students for the preliminary exam C of Society of Actuaries and Course 4 of Casualty Actuarial Society.

ACT4348:Actuarial Science 8. Loss Models II.  Students are expected able to use statistical methods to estimate the parameters of actuarial models given sample data, identify steps in the modeling process, understand the underlying assumptions implicit in each family of models, recognize which assumptions are applicable in a given business application, and appropriately adjust the models for impact of insurance coverage modifications. The two course sequence, ACT 4347 and 4348, prepares students for the preliminary exam C of Society of Actuaries and Course 4 of Casualty Actuarial Society.

 

ACT4349:Actuarial Science 9. This course provides the theoretical foundations of regression and time series; incorporates examples and problems to link the theory with real-life applications; and develops students’ understanding of statistical concepts. The course provides actuarial society “validation by educational experience (VEE) credit to students who earn a satisfactory grade.

 

RMI2301: Principles of Risk & Insurance. This course surveys risk fundamentals, the risk management process, and insurance as a systematic approach to transfer and finance risk. It examines how insurance offers financial protection against major risks individuals face, how the insurance market is structured, and how and why the industry is regulated. This course also provides the theories and practical applications from the industry as well as issues related to the furtherance of insurance as a viable risk management solution. Prerequisites are ACC2333, ECO1301, ECO1302, DS2333 and LAW1310.

RMI3334:Property & Liability Insurance. This course examines property and liability loss exposures that corporations commonly face and how they manage the exposures. It surveys the theories and principles governing insurance contracts covering the exposures. The course also offers cases and data for an analysis of the commercial property liability industry and market performance. Prerequisite is RMI2301.

 
RMI3335:Life, Health, Pension & Social Insurance. To give students a thorough knowledge of life and some knowledge of health insurance, there use, kinds, and social values... The course provides an overview of issues facing employers and plan participants with respect to employee benefit plans. These plans manage personal risks such as premature death, medical care costs, and loss of income due to disability or retirement. The course presents and explores the role of insurance in the public domain. Students learn the numerous ways in which social insurance contributes to the economy. Topics include the theories and application of social security, unemployment insurance, Medicare, federal deposit insurance, flood insurance, and many other social insurance programs. Prerequisite is RMI2301.

 
RMI3350:Risk Seminar. The course offers students opportunities to build a stronger knowledge foundation in risk and insurance and to apply their knowledge to the management of risk at the societal/governmental and corporate levels. Analysis of the potential impact of the changes in socio-cultural, demographic, legal, political, economic, and financial services market environments on risk management decisions is a key component of the course. Examination of the structure of insurance markets—life, nonlife, reinsurance and alternatives—subject to the environments is the other. The study focus is global. Prerequisite is RMI2301.
 

RMI3360:Corporate Risk Management. The course addresses each aspect of corporate risk management, explores in depth all concepts involved. An overall Corporate Risk Management approach will then be employed for purposes of demonstrating the breadth of risks that sometimes are best managed in combination. Prerequisite is RMI2301.

RMI3361:Insurance & Alternative Risk Transfer. The course investigates how corporations, including insurance firms, manage financial, operational and strategic risks to enhance firm value.  It examines traditional risk financing tools, including reinsurance techniques, as well as structured financing tools involving capital market players. The course investigates when and how it is appropriate for a firm to arrange for infusion of cash and when and how it is appropriate to alter the firm’s capital structure.  Prerequisite is RMI2301 and FIN 3310.

RMI4364:Reinsurance. The course provides a history of reinsurance and the reinsurance market. The various forms and functions of reinsurance are examined, and sample reinsurance contracts are reviewed. The course includes a discussion of current reinsurance issues and the claims and accounting operations of a reinsurer. The course also examines the underwriting concerns of a professional reinsurer, and the programming needs of the buyer of reinsurance; accounting and statistical problems of the business; advanced rating techniques, and the course provides a summary of the different methods of setting retentions. Prerequisite is RMI2301.
 

RMI4390:Insurance Industry Structure & Operations. The course provides a study of the industrial organization of the evolving Insurance and financial Services markets.  Students are exposed to the structure, conduct and performance of the US and selected non-US markets (London, Bermuda, and others).  Students also develop an understanding of the state of captive developments and other alternative market participants. Prerequisite is RMI2301. (Last course for majors)