Illinois State University Mathematics Department
Dr. Krzysztof Ostaszewski,FSA,CFA,MAAA
Actuarial Program Director
Office: Stevenson Hall, room 313G.
Telephone: 309-438-7226, Fax: 309-438-5866.
E-mail: krzysio@ilstu.edu
Classes Meet
Tuesdays and Thursdays 3:30-5:20 p.m. (with a ten minute break), in Stevenson Hall, room 310.
Office Hours
Tuesdays and Thursdays 2:20-3:20 p.m. Please ask for an appointment at other times.
Textbooks
Actuarial Mathematics, 2nd Edition, by Bowers et al., published in 1997 by the Society of Actuaries. Only the portions of the book covered on the Casualty Actuarial Society/Society of Actuaries Course 3 examination will be covered in class. It is also recommended that you use Actex Manual for Course 3, published by Actex Publications, as a supplementary textbook. If you are planning to take Casualty Actuarial Society / Society of Actuaries Course 3 examination, you are encouraged to obtain both textbooks.
Objective
The objective of this class is to help you learn about actuarial models of life contingencies (i.e., financial random variables dependent on human life, such as life insurance payments, life annuity payments, pension payments, etc.). We will cover topics such as: survival distributions, life tables, mathematics of life insurance, life annuities, premiums, and reserves. These actuarial models are tested on the Casualty Actuarial Society / Society of Actuaries Course 3 examination, and form a key part of modern actuarial science.
Grading
There will be four tests and a final examination. You can have a make-up test, but a make-up will be made intentionally at least 20% more difficult. The final will count as 40% of your grade, and the best two of the four tests will count as 30% of your grade each. The grading scale will be as follows: 80% or better — A, 70% to 80% — B, 60% to 70% — C, 50% to 60% — D, below 50% — F. You will also receive up to 20% extra credit for the better of the your two worst tests. You will be also given an opportunity for earning 10% extra credit for homework problems, and 10% extra credit for in class random quizes. While the grading scale may appear liberal, it is justified by the level of difficulty of the material.
Schedule of classes
- Tuesday, August 20, 2002. Chapter 3 (Survival distributions and life tables).
- Thursday, August 22, 2002. Chapter 3 (Survival distributions and life tables).
- Tuesday, August 27, 2002. Chapter 3 (Survival distributions and life tables).
- Thursday, August 29, 2002. Chapter 4 (Life insurance).
- Tuesday, September 3, 2002. Chapter 4 (Life insurance).
- Thursday, September 5, 2002. Chapter 4 (Life insurance).
- Tuesday, September 10, 2002. Chapter 5, Sections 5.1-5.4 (Life annuities).
- Thursday, September 12, 2002. Chapter 5, Sections 5.1-5.4 (Life annuities).
- Tuesday, September 17, 2002. Chapter 5, Sections 5.1-5.4 (Life annuities).
- Thursday, September 19, 2002. Chapter 6, Sections 6.1-6.4 (Benefit premiums).
- Tuesday, September 24, 2002. Chapter 6, Sections 6.1-6.4 (Benefit premiums).
- Thursday, September 26, 2002. Chapter 6, Sections 6.1-6.4 (Benefit premiums).
- Tuesday, October 1, 2002. Chapter 6, Sections 6.1-6.4 (Benefit premiums).
- Thursday, October 3, 2002. Test No. 1, covering Chapters 3-5.
- Tuesday, October 8, 2002. Chapter 7, Sections 7.1-7.6 (Benefit reserves).
- Thursday, October 10, 2002. Chapter 7, Sections 7.1-7.6 (Benefit reserves).
- Tuesday, October 15, 2002. Chapter 7, Sections 7.1-7.6 (Benefit reserves).
- Thursday, October 17, 2002. Chapter 8, Sections 8.1-8.4 (Analysis of benefit reserves).
- Tuesday, October 22, 2002. Chapter 8, Sections 8.1-8.4 (Analysis of benefit reserves).
- Thursday, October 24, 2002. Test No. 2, covering Chapters 3-7.
- Tuesday, October 29, 2002. Chapter 8, Sections 8.1-8.4 (Analysis of benefit reserves).
- Thursday, October 31, 2002. Chapter 9 (Multiple life functions).
- Tuesday, November 5, 2002. Chapter 9 (Multiple life functions).
- Thursday, November 7, 2002. Chapter 9 (Multiple life functions).
- Tuesday, November 12, 2002. Test No. 3, covering Chapters 3-8.
- Thursday, November 14, 2002. Chapter 10 (Multiple decrement models).
- Tuesday, November 19, 2002. Chapter 10 (Multiple decrement models).
- Thursday, November 21, 2002. Chapter 10 (Multiple decrement models).
- Tuesday, November 26, 2002. Chapter 11, Sections 11.1-11.3 (Applications of multiple decrement theory).
- Tuesday, December 3, 2002. Chapter 11, Sections 11.1-11.3 (Applications of multiple decrement theory).
- Thursday, December 5, 2002. Test No. 4, comprehensive.
- Thursday, December 12, 3:10 p.m. — 5:10 p.m. Final examination, comprehensive.
All information contained here is, to our best knowledge, correct, but it is merely a representation, and should not be considered to be any form of professional advice. This electronic publication should not be misconstrued as the official position of Illinois State University, or its Department of Mathematics. We are glad to provide as much information as possible here, but we kindly ask that in any decision related to matters listed here you seek additional counsel and information. Comments on this Home Page are welcome and should be sent to Dr. Krzysztof Ostaszewski at his e-mail address: krzysio@ilstu.edu.