Abstract
We discuss an optimization model to obtain an optimal investment and insurance strategy for a household. In this paper, we extend the studies in Hibiki and Komoribayashi (2006). We introduce the following points, and examine the model with numerical examples. 1 We consider cash flow due to a serious disease and involve medical insurance. 2 An optimization model is formulated with term life insurance which variable insurance money is received. 3 We propose a model to decide optimal life and medical insurance money received at each time. 4 Sampling error is examined with 100 kinds of 5,000 sample paths.
Original language | English |
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Pages (from-to) | 463-487 |
Number of pages | 25 |
Journal | Journal of the Operations Research Society of Japan |
Volume | 50 |
Issue number | 4 |
DOIs | |
Publication status | Published - 2007 Dec |
Keywords
- Finance
- Financial planning
- Insurance design
- Investment and insurance strategy
- Multi-period optimization
ASJC Scopus subject areas
- Decision Sciences(all)
- Management Science and Operations Research