Three life insurance model research--Family unite the insurance model

Abstract: Interest rate is assumed for the constant in some insurance references. They include the calculation of spouse allied scheme insurance premium and reserve and calculation of family combined insurance premium under the constant interest rate.Interest randomness in life insurance has received considerable attention in recent literatures on actuarial theory and its applications. In order to avoid the risk induced by interest randomness, we consider the force of interest function as a Wiener process. In this paper, we build an actuarial model for family combined insurance under fixed interest and random rate of interest differently. First, the family condition in the future is analyzed. In analyzing about muliti-life function, introducing the situation of three element, especially while considering the death order, consider a person dies before other two people (state of jointly surviving). Second, two kinds of association situations and two models are considered here. The first place is the couple and only children; the second place is couple own. At the last, the actuarial present value on the life insurance and annuity are calculated.