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We study optimal reinsurance in the framework of stochastic game theory, in which there is an insurer and two reinsurers. A Stackelberg model is established to analyze the non-cooperative relationship between the insurer and reinsurers,…

Mathematical Finance · Quantitative Finance 2023-05-02 Liyuan Lin , Fangda Liu , Jingzhen Liu abd Luyang Yu

The queue system,with Poisson arrivals,constant service time and infinite servers, busy period distribution is intensively studied because, due to its probability density function quite easy interpretation, it may serve as a clue to…

Probability · Mathematics 2021-09-23 Manuel Alberto M. Ferreira

A common assumption when modeling queuing systems is that arrivals behave like a Poisson process with constant parameter. In practice, however, call arrivals are often observed to be significantly overdispersed. This motivates that in this…

Probability · Mathematics 2017-03-07 Mariska Heemskerk , Julia Kuhn , Michel Mandjes

We study a stochastic optimal control problem for jump-diffusion systems whose drift coefficient is piecewise Lipschitz continuous and exhibits threshold-induced discontinuities. Such dynamics naturally arise in applications with…

Optimization and Control · Mathematics 2026-05-08 Antoine-Marie Bogso , Edward Fuituh Kameh , Olivier Menoukeu-Pamen , Felix Shu

The estimation of absorption time distributions of Markov jump processes is an important task in various branches of statistics and applied probability. While the time-homogeneous case is classic, the time-inhomogeneous case has recently…

Statistics Theory · Mathematics 2022-07-26 Jamaal Ahmad , Martin Bladt , Mogens Bladt

We propose a model in which dividend payments occur at regular, deterministic intervals in an otherwise continuous model. This contrasts traditional models where either the payment of continuous dividends is controlled or the dynamics are…

Optimization and Control · Mathematics 2019-07-24 Jussi Keppo , Max Reppen , H. Mete Soner

We study the impact of learning on the optimal policy and the time-to-decision in an infinite-horizon Bayesian sequential decision model with two irreversible alternatives, exit and expansion. In our model, a firm undertakes a small-scale…

Optimization and Control · Mathematics 2019-01-15 H. Dharma Kwon , Steven A. Lippman

This paper studies the properties of the Multiply Iterated Poisson Process (MIPP), a stochastic process constructed by repeatedly time-changing a Poisson process, and its applications in ruin theory. Like standard Poisson processes, MIPPs…

Probability · Mathematics 2025-05-13 Dongdong Hu , Svetlozar T. Rachev , Hasanjan Sayit , Hailiang Yang , Yildiray Yildirim

Rate-induced tipping is an instability that occurs in a system when its time-dependent rate parameter becomes larger than a threshold value. We investigate a Pearson diffusion process, a diffusion process having solutions staying in a…

Probability · Mathematics 2026-03-12 Hidekazu Yoshioka

In this paper, we study a class of stochastic optimal control problem with jumps under partial information. More precisely, the controlled systems are described by a fully coupled nonlinear multi- dimensional forward-backward stochastic…

Optimization and Control · Mathematics 2009-11-18 Qingxin Meng

Optimal reinsurance when Value at Risk and expected surplus is balanced through their ratio is studied, and it is demonstrated how results for risk-adjusted surplus can be utilized. Simplifications for large portfolios are derived, and this…

Applications · Statistics 2019-12-10 Erik Bølviken , Yinzhi Wang

We investigate the problem of optimal dividend distribution for a company in the presence of regime shifts. We consider a company whose cumulative net revenues evolve as a Brownian motion with positive drift that is modulated by a finite…

General Finance · Quantitative Finance 2011-04-20 Zhengjun Jiang , Martijn Pistorius

Due to the presence of reporting and settlement delay, claim data sets collected by non-life insurance companies are typically incomplete, facing right censored claim count and claim severity observations. Current practice in non-life…

Risk Management · Quantitative Finance 2023-02-10 Jonas Crevecoeur , Katrien Antonio , Stijn Desmedt , Alexandre Masquelein

This project works with the risk model developed by Li et al. (2015) and quests modelling, estimating and pricing insurance for risks brought in by innovative technologies, or other emerging or latent risks. The model considers two…

Statistics Theory · Mathematics 2019-05-20 Weihong Ni , Corina Constantinescu , Alfredo Egídio dos Reis , Véronique Maume-Deschamps

This paper considers the ruin problem with random premiums, whose densities have rational Laplace transforms, and investments in a risky asset whose price follows a geometric Brownian motion. The asymptotic behavior of the ruin probability…

Probability · Mathematics 2025-08-12 Viktor Antipov

This contribution is concerned with price optimisation of the new business for a non-life product. Due to high competition in the insurance market, non-life insurers are interested in increasing their conversion rates on new business based…

Computational Finance · Quantitative Finance 2017-11-22 Maissa Tamraz , Yaming Yang

We consider an intermediary's problem of dynamically matching demand and supply of heterogeneous types in a periodic-review fashion. More specifically, there are two disjoint sets of demand and supply types, and a reward associated with…

Optimization and Control · Mathematics 2018-11-20 Ming Hu , Yun Zhou

Optimal designs minimize the number of experimental runs (samples) needed to accurately estimate model parameters, resulting in algorithms that, for instance, efficiently minimize parameter estimate variance. Governed by knowledge of past…

Methodology · Statistics 2023-02-03 Nicholas W. Barendregt , Emily G. Webb , Zachary P. Kilpatrick

In this paper, we develop a Markovian model that deals with the volume offered at the best quote of an electronic order book. The volume of the first limit is a stochastic process whose paths are periodically interrupted and reset to a new…

Trading and Market Microstructure · Quantitative Finance 2019-07-15 Ioane Muni Toke

We study a version of the stochastic control problem of minimizing the sum of running and controlling costs, where control opportunities are restricted to independent Poisson arrival times. Under a general setting driven by a general L\'evy…

Optimization and Control · Mathematics 2024-11-19 Kei Noba , Kazutoshi Yamazaki