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In this paper, we build on the techniques developed in Albrecher et al. (2013), to generate initial-boundary value problems for ruin probabilities of surplus-dependent premium risk processes, under a renewal case scenario, Erlang (2) claim…

Probability · Mathematics 2021-01-12 Corina Constantinescu , Zbigniew Palmowski , Jing Wang

We study the asymptotic behavior of ruin probabilities, as the initial reserve goes to infinity, for a reserve process model where claims arrive according to a renewal process, while between the claim times the process has the dynamics of…

Probability · Mathematics 2023-02-24 Ying He , Konstantin Borovkov

The claim arrival process to an insurance company is modeled by a compound Poisson process whose intensity and/or jump size distribution changes at an unobservable time with a known distribution. It is in the insurance company's interest to…

Optimization and Control · Mathematics 2008-12-10 Erhan Bayraktar , H. Vincent Poor

In this paper, we adapt the classic Cram\'er-Lundberg collective risk theory model to a perturbed model by adding a Wiener process to the compound Poisson process, which can be used to incorporate premium income uncertainty, interest rate…

Risk Management · Quantitative Finance 2021-07-07 Yacine Koucha , Alfredo D. Egidio dos Reis

In this paper we develop a symbolic technique to obtain asymptotic expressions for ruin probabilities and discounted penalty functions in renewal insurance risk models when the premium income depends on the present surplus of the insurance…

Computational Finance · Quantitative Finance 2013-08-15 Hansjörg Albrecher , Corina Constantinescu , Zbigniew Palmowski , Georg Regensburger , Markus Rosenkranz

Our paper explores a discrete-time risk model with time-varying premiums, investigating two types of correlated claims: main claims and by-claims. Settlement of the by-claims can be delayed for one time period, representing real-world…

Risk Management · Quantitative Finance 2024-08-02 Dhiti Osatakul , Shuanming Li , Xueyuan Wu

Using the results of precise large deviation and renewal theory for widely dependent random variables, this paper obtains the asymptotic estimation of the random-time ruin probability and the uniform asymptotic estimation of finite-time…

Probability · Mathematics 2025-06-24 Yang Chen , Zhaolei Cui , Yuebao Wang

We analyze the probability of ruin for the {\it scaled} classical Cram\'er-Lundberg (CL) risk process and the corresponding diffusion approximation. The scaling, introduced by Iglehart \cite{I1969} to the actuarial literature, amounts to…

Optimization and Control · Mathematics 2020-06-18 Asaf Cohen , Virginia R. Young

We consider a risk model where deficits after ruin are covered by a new type of reinsurance contract that provides capital injections. To allow the insurance company's survival after ruin, the reinsurer injects capital only at ruin times…

Risk Management · Quantitative Finance 2018-06-13 Zied Ben Salah , José Garrido

We consider the problem of minimizing the probability of ruin by purchasing reinsurance whose premium is computed according to the mean-variance premium principle, a combination of the expected-value and variance premium principles. We…

Optimization and Control · Mathematics 2020-07-07 Xiaoqing Liang , Zhibin Liang , Virginia R. Young

This paper presents a novel model for bivariate stochastic fluid processes that incorporate a ruin-dependent behavioral switch. Unlike typical models that assume a shared underlying process, our model allows each process to operate…

Probability · Mathematics 2023-08-01 Hamed Amini , Andreea Minca , Oscar Peralta

We consider a bivariate Cramer-Lundberg-type risk reserve process with the special feature that each insurance company agrees to cover the deficit of the other. It is assumed that the capital transfers between the companies are…

Probability · Mathematics 2015-05-05 Jevgenijs Ivanovs , Onno Boxma

Consider two insurance companies (or two branches of the same company) that receive premiums at different rates and then split the amount they pay in fixed proportions for each claim (for simplicity we assume that they are equal). We model…

General Finance · Quantitative Finance 2011-02-14 Irmina Czarna , Zbigniew Palmowski

We study the asymptotics of the ruin probability in the Cram\'er-Lundberg model with a modified notion of ruin. The modification is as follows. If the portfolio becomes negative, the asset is not immediately declared ruined but may survive…

Probability · Mathematics 2019-04-26 Frank Aurzada , Micha Buck

The discrete time risk model with two seasons and dependent claims is considered. An algorithm is created for computing the values of the ultimate ruin probability. Theoretical results are illustrated with numerical examples.

Probability · Mathematics 2020-01-13 Olga Navickienė , Jonas Sprindys , Jonas Šiaulys

We consider a risk model with a counting process whose intensity is a Markovian shot-noise process, to resolve one of the disadvantages of the Cram\'er-Lundberg model, namely the constant jump intensity of the Poisson process. Due to this…

Probability · Mathematics 2022-05-11 Simon Pojer , Stefan Thonhauser

This paper studies proportional risk sharing at claim occurrence time in community-based insurance. Each participant is modeled by an individual Cram\'er-Lundberg surplus process, and, whenever a claim is reported within the pool, its cost…

Probability · Mathematics 2026-04-01 Michel Denuit , José Miguel Flores-Contró , Christian Y. Robert

We introduce the concept of cumulative Parisian ruin, which is based on the time spent in the red by the underlying surplus process. Our main result is an explicit representation for the distribution of the occupation time, over a…

Probability · Mathematics 2015-09-24 Hélène Guérin , Jean-François Renaud

In this work, we consider extensions of the dual risk model with proportional gains by introducing a dependence structure between gain sizes and gain interrarrival times. Among others, we further consider the case where the proportional…

Probability · Mathematics 2025-04-23 Ioannis Dimitriou

In this paper we study the joint ruin problem for two insurance companies that divide between them both claims and premia in some specified proportions (modeling two branches of the same insurance company or an insurance and re-insurance…

Probability · Mathematics 2007-11-16 Florin Avram , Zbigniew Palmowski , Martijn Pistorius