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Parametric insurance has emerged as a practical way to cover risks that may be difficult to assess. By introducing a parameter that triggers compensation and allows the insurer to determine a payment without estimating the actual loss,…

Applications · Statistics 2023-01-20 Olivier Lopez , Maud Thomas

This paper considers robust modeling of the survival time for cancer patients. Accurate prediction can be helpful for developing therapeutic and care strategies. We propose a unified Expectation-Maximization approach combined with the…

Methodology · Statistics 2019-12-23 Yi Li , Muxuan Liang , Lu Mao , Sijian Wang

Selective classification, in which models can abstain on uncertain predictions, is a natural approach to improving accuracy in settings where errors are costly but abstentions are manageable. In this paper, we find that while selective…

Machine Learning · Computer Science 2021-04-15 Erik Jones , Shiori Sagawa , Pang Wei Koh , Ananya Kumar , Percy Liang

Survival regression is widely used to model time-to-events data, to explore how covariates may influence the occurrence of events. Modern datasets often encompass a vast number of covariates across many subjects, with only a subset of the…

Methodology · Statistics 2024-09-18 Abhishek Mandal , Abhisek Chakraborty

Multistage risk-averse optimal control problems with nested conditional risk mappings are gaining popularity in various application domains. Risk-averse formulations interpolate between the classical expectation-based stochastic and minimax…

Optimization and Control · Mathematics 2019-03-19 Pantelis Sopasakis , Mathijs Schuurmans , Panagiotis Patrinos

Who {\em values} life annuities more? Is it the healthy retiree who expects to live long and might become a centenarian, or is the unhealthy retiree with a short life expectancy more likely to appreciate the pooling of longevity risk? What…

Risk Management · Quantitative Finance 2018-11-29 Moshe A. Milevsky

Typical risk classification procedure in insurance is consists of a priori risk classification determined by observable risk characteristics, and a posteriori risk classification where the premium is adjusted to reflect the policyholder's…

Applications · Statistics 2020-02-04 Rosy Oh , Youngju Lee , Dan Zhu , Jae Youn Ahn

We study the optimal design of electricity contracts among a population of consumers with different needs. This question is tackled within the framework of Principal-Agent problems in presence of adverse selection. The particular features…

Optimization and Control · Mathematics 2019-09-17 Clémence Alasseur , Ivar Ekeland , Romuald Elie , Nicolás Hernández Santibáñez , Dylan Possamaï

Unemployment insurance provides temporary cash benefits to eligible unemployed workers. Benefits are sometimes extended by discretion during economic slumps. In a model that features temporary benefits and sequential job opportunities, a…

General Economics · Economics 2023-12-22 Rich Ryan

Survivorship analysis allows to statistically analyze situations that can be modeled as waiting times to an event. These waiting times are characterized by the cumulative hazard rate, which can be estimated by the Nelson-Aalen estimator or…

Statistics Theory · Mathematics 2019-07-04 Niklas Hohmann

Classical optimization algorithms--hill climbing, simulated annealing, population-based methods--generate candidate solutions via random perturbations. We replace the random proposal generator with an LLM agent that reasons about evaluation…

Artificial Intelligence · Computer Science 2026-03-31 Yitao Li

A high-risk pregnancy is a pregnancy complicated by factors that can adversely affect the outcomes of the mother or the infant. Health insurers use algorithms to identify members who would benefit from additional clinical support. This work…

Disparities in lending to minority applicants persist even as algorithmic lending finds widespread adoption. We study the role of risk-management constraints, specifically Value-at-Risk ($\VaR$) and Expected Shortfall (ES), in inducing…

Computers and Society · Computer Science 2025-11-13 Adam Bouyamourn , Alexander Williams Tolbert

Every time drivers take to the road, and with each mile that they drive, exposes themselves and others to the risk of an accident. Insurance premiums are only weakly linked to mileage, however, and have lump-sum characteristics largely. The…

Risk Management · Quantitative Finance 2020-03-11 Safoora Zarei , Ali R. Fallahi

The co-occurrence of multiple long-term conditions (MLTC), or multimorbidity, in an individual can reduce their lifespan and severely impact their quality of life. Exploring the longitudinal patterns, e.g. clusters, of disease accrual can…

We consider a market model where there are two levels of information. The public information generated by the financial assets, and a larger flow of information that contains additional knowledge about a random time. This random time can…

Mathematical Finance · Quantitative Finance 2018-05-30 Tahir Choulli , Catherine Daveloose , Michèle Vanmaele

Multi-state models provide an extension of the usual survival/event-history analysis setting. In the medical domain, multi-state models give the possibility of further investigating intermediate events such as relapse and remission. In this…

Methodology · Statistics 2021-06-24 D. Manevski , H. Putter , M. Pohar Perme , E. F. Bonneville , J. Schetelig , L. C. de Wreede

To analyze and project age-specific mortality or morbidity rates age-period-cohort (APC) models are very popular. Bayesian approaches facilitate estimation and improve predictions by assigning smoothing priors to age, period and cohort…

Applications · Statistics 2012-03-21 Andrea Riebler , Leonhard Held , Håvard Rue

This paper researches the problem of purchasing deferred term insurance in the context of financial planning to maximize the probability of achieving a personal financial goal. Specifically, our study starts from the perspective of hedging…

Portfolio Management · Quantitative Finance 2023-01-11 Yuqi Li , Lihua Zhang

With the rise of emerging risks, model uncertainty poses a fundamental challenge in the insurance industry, making robust pricing a first-order question. This paper investigates how insurers' robustness preferences shape competitive…

Risk Management · Quantitative Finance 2025-10-20 Shunzhi Pang