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This paper presents some new results on Parisian ruin under Levy insurance risk process, where ruin occurs when the process has gone below a fixed level from the last record maximum, also known as the high-water mark or drawdown, for a…

Probability · Mathematics 2018-06-07 B. A. Surya

In the setting of a L\'evy insurance risk process, we present some results regarding the Parisian ruin problem which concerns the occurrence of an excursion below zero of duration bigger than a given threshold $r$. First, we give the joint…

Probability · Mathematics 2017-11-15 Ronne Loeffen , Zbigniew Palmowski , Budhi Surya

In this paper we analyze so-called Parisian ruin probability that happens when surplus process stays below zero longer than fixed amount of time $\zeta>0$. We focus on general spectrally negative L\'{e}vy insurance risk process. For this…

Probability · Mathematics 2010-04-21 Irmina Czarna , Zbigniew Palmowski

In this paper, we investigate Parisian ruin for a L\'evy surplus process with an adaptive premium rate, namely a refracted L\'evy process. More general Parisian boundary-crossing problems with a deterministic implementation delay are also…

Probability · Mathematics 2017-03-08 Mohamed Amine Lkabous , Irmina Czarna , Jean-François Renaud

We consider an interesting natural extension to the Parisian ruin problem under the assumption that the risk reserve dynamics are given by a spectrally negative L\'evy process. The distinctive feature of this extension is that the…

Probability · Mathematics 2021-11-05 Duy Phat Nguyen , Konstantin Borovkov

In this paper we study the draw-down related Parisian ruin problem for spectrally negative L\'{e}vy risk processes. We introduce the draw-down Parisian ruin time and solve the corresponding two-sided exit time via excursion theory. We also…

Probability · Mathematics 2019-04-25 Wenyuan Wang , Xiaowen Zhou

Applying excursion theory, we re-express several well studied fluctuation quantities associated to Parisian ruin problem for L\'evy risk processes in terms of integrals with respect to excursion measure for spectrally negative L\'evy…

Probability · Mathematics 2023-05-16 Bo Li , Xiaowen Zhou

In this paper, we introduce an insurance ruin model with adaptive premium rate, thereafter refered to as restructuring/refraction, in which classical ruin and bankruptcy are distinguished. In this model, the premium rate is increased as…

Probability · Mathematics 2013-06-21 Jean-François Renaud

In this note we give, for a spectrally negative Levy process, a compact formula for the Parisian ruin probability, which is defined by the probability that the process exhibits an excursion below zero, with a length that exceeds a certain…

Probability · Mathematics 2013-03-22 Ronnie Loeffen , Irmina Czarna , Zbigniew Palmowski

Inspired by works of Landriault et al. \cite{LRZ-0, LRZ}, we study discounted penalties at ruin for surplus dynamics driven by a spectrally negative L\'evy process with Parisian implementation delays. To be specific, we study the so-called…

Probability · Mathematics 2015-03-13 E. J. Baurdoux , J. C. Pardo , J. L. Pérez , J. -F. Renaud

We study the problem of minimizing the discounted probability of exponential Parisian ruin, that is, the discounted probability that an insurer's surplus exhibits an excursion below zero in excess of an exponentially distributed clock. The…

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

In this paper we evaluate the probability of the discrete time Parisian ruin that occurs when surplus process stays below or at zero at least for some fixed duration of time $d>0$. We identify expressions for the ruin probabilities within…

Probability · Mathematics 2017-06-16 Irmina Czarna , Zbigniew Palmowski , Przemysław Światek

In this paper we study a spectrally negative L\'evy process which is refracted at its running maximum and at the same time reflected from below at a certain level. Such a process can for instance be used to model an insurance surplus…

Pricing of Securities · Quantitative Finance 2014-03-07 Hansjoerg Albrecher , Jevgenijs Ivanovs

It has been decades since the academic world of ruin theory defined the insolvency of an insurance company as the time when its surplus falls below zero. This simplification, however, needs careful adaptions to imitate the real-world…

Risk Management · Quantitative Finance 2020-07-06 Aili Zhang , Ping Chen , Shuanming Li , Wenyuan Wang

In this paper we consider dividend problem for an insurance company whose risk evolves as a spectrally negative L\'{e}vy process (in the absence of dividend payments) when Parisian delay is applied. The objective function is given by the…

Portfolio Management · Quantitative Finance 2011-10-19 Irmina Czarna , Zbigniew Palmowski

In this paper we study a spectrally negative L\'{e}vy process that is reflected at its draw-down level whenever a draw-down time from the running supremum arrives. Using an excursion-theoretical approach, for such a reflected process we…

Probability · Mathematics 2019-11-26 Wenyuan Wang , Xiaowen Zhou

In this paper, we unify two popular approaches for the definition of actuarial ruin with implementation delays, also known as Parisian ruin. Our new definition of ruin includes both deterministic delays and exponentially distributed delays:…

Probability · Mathematics 2018-02-05 Mohamed Amine Lkabous , Jean-François Renaud

We consider a generalization of the classical risk model when the premium intensity depends on the current surplus of an insurance company. All surplus is invested in the risky asset, the price of which follows a geometric Brownian motion.…

Probability · Mathematics 2014-03-28 Yuliya Mishura , Mykola Perestyuk , Olena Ragulina

In this article, we introduce a new definition of bankruptcy for a spectrally negative L\'evy insurance risk process. More precisely, we study the Gerber-Shiu distribution for a ruin model where at each time the surplus goes negative, an…

Probability · Mathematics 2015-07-28 Juan Carlos Pardo , Jose Luis Perez , Victor Rivero

The field of risk theory has traditionally focused on ruin-related quantities. In particular, the socalled Expected Discounted Penalty Function has been the object of a thorough study over the years. Although interesting in their own right,…

Risk Management · Quantitative Finance 2014-06-27 Zied Ben-Salah , Hélène Guérin , Manuel Morales , Hassan Omidi Firouzi
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