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Actuarial Modelling I (ACTL30001)

Undergraduate level 3Points: 12.5On Campus (Parkville)

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Overview

Availability
Semester 1
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This subject aims to provide students with a grounding in mathematical and statistical modelling techniques that are of particular relevance to actuarial work, covering survival models concepts, estimation procedures for lifetime distributions, multiple state models, binomial and Poisson models of mortality, actuarial applications of discrete-time and continuous-time Markov chains. This subject focuses on modelling techniques in life insurance.

Intended learning outcomes

On successful completion of this subject, students should be able to:

  • Explain the concept of survival model
  • Summarise estimation procedures for lifetime distributions
  • Analyse discrete-time Markov chains and interpret their actuarial applications
  • Analyse continuous-time Markov processes and apply them in actuarial problems
  • Construct models of transfer between multiple states, including processes with single or multiple decrements, and derive relationships between probabilities of transfer and transition intensities
  • Derive maximum likelihood estimators for the transition intensities in models of transfers between states with piecewise constant transition intensities
  • Analyse the binomial model of mortality,  derive the maximum likelihood estimator for the probability of death and compare the binomial model with the multiple state models
  • Apply prerequisite mathematical and statistical concepts to the solution of problems on the above topics

Generic skills

  • High level of development: written communication; problem solving; statistical reasoning; application of theory to practice; use of computer software.

Last updated: 20 May 2023

Eligibility and requirements

Prerequisites

For students who commenced their degree in 2018 or earlier

All of

Code Name Teaching period Credit Points
MAST20005 Statistics
Semester 2 (On Campus - Parkville)
Summer Term (Dual-Delivery - Parkville)
 12.5

ACTL20002 Financial Mathematics II

For students who commenced their degree in 2019 or later (i.e. enrollment into this subject from 2021 onwards)

All of

Code Name Teaching period Credit Points
ACTL20003 Stochastic Techniques in Insurance
Semester 2 (On Campus - Parkville)
 12.5
MAST20005 Statistics
Semester 2 (On Campus - Parkville)
Summer Term (Dual-Delivery - Parkville)
 12.5

Corequisites

None

Non-allowed subjects

300-330 Survival Models: Theory and Applications

Recommended background knowledge

Please refer to Prerequisites and Corequisites.

Inherent requirements (core participation requirements)

The University of Melbourne is committed to providing students with reasonable adjustments to assessment and participation under the Disability Standards for Education (2005), and the Assessment and Results Policy (MPF1326). Students are expected to meet the core participation requirements for their course. These can be viewed under Entry and Participation Requirements for the course outlines in the Handbook.

Further details on how to seek academic adjustments can be found on the Student Equity and Disability Support website: http://services.unimelb.edu.au/student-equity/home

Last updated: 20 May 2023

Assessment

DescriptionTimingPercentage

Assignment 1 (Week 5 or 6)

  • 1000 words
First half of the teaching period15%

Assignment 2 (Week 10 or 11)

  • 1000 words
Second half of the teaching period15%

End-of-semester exam

  • 2 hours
Hurdle requirement: To pass this subject, students must pass the end of semester examination		During the examination period70%

Last updated: 20 May 2023

Dates & times

  • Semester 1
    CoordinatorShuanming Li
    Mode of deliveryOn Campus (Parkville)
    Contact hoursTwo 1-hour lectures and one 1-hour tutorial per week
    Total time commitment170 hours
    Teaching period27 February 2023 to 28 May 2023
    Last self-enrol date10 March 2023
    Census date31 March 2023
    Last date to withdraw without fail 5 May 2023
    Assessment period ends23 June 2023

    Semester 1 contact information

    Prof. Shuanming Li shli@unimelb.edu.au

Time commitment details

170 hours

What do these dates mean

Visit this webpage to find out about these key dates, including how they impact on:

  • Your tuition fees, academic transcript and statements.
  • And for Commonwealth Supported students, your:
    - Student Learning Entitlement. This applies to all students enrolled in a Commonwealth Supported Place (CSP).
    - Completion rate. Students who started their course from 2022 and are in a CSP or receiving a HELP Loan (eg FEE-HELP) must meet the completion rate to continue to receive Commonwealth Support for that course.

Subjects withdrawn after the census date (including up to the ‘last day to withdraw without fail’) count toward the Student Learning Entitlement, and as a fail toward the completion rate, unless there are approved ‘special circumstances’.

Last updated: 20 May 2023

Further information

Last updated: 20 May 2023