Fundamentals of Actuarial Mathematics / Edition 1

Hardcover (Print)
Used and New from Other Sellers
Used and New from Other Sellers
from $53.53
Usually ships in 1-2 business days
(Save 40%)
Other sellers (Hardcover)
  • All (8) from $53.53   
  • New (4) from $53.53   
  • Used (4) from $94.50   
Sort by
Page 1 of 1
Showing All
Note: Marketplace items are not eligible for any coupons and promotions
Seller since 2014

Feedback rating:



New — never opened or used in original packaging.

Like New — packaging may have been opened. A "Like New" item is suitable to give as a gift.

Very Good — may have minor signs of wear on packaging but item works perfectly and has no damage.

Good — item is in good condition but packaging may have signs of shelf wear/aging or torn packaging. All specific defects should be noted in the Comments section associated with each item.

Acceptable — item is in working order but may show signs of wear such as scratches or torn packaging. All specific defects should be noted in the Comments section associated with each item.

Used — An item that has been opened and may show signs of wear. All specific defects should be noted in the Comments section associated with each item.

Refurbished — A used item that has been renewed or updated and verified to be in proper working condition. Not necessarily completed by the original manufacturer.

New New. Dust-jacket not issued, laminated pictorial hardboard cover, by Wiley. Pristine gift quality book. Delivered to you in 2-5 business days. Secure packaging. Airmail ... Internationally. Please see our feedback, buy with confidence and enjoy your book. *****PLEASE NOTE: This item is shipping from an authorized seller in Europe. In the event that a return is necessary, you will be able to return your item within the US. To learn more about our European sellers and policies see the BookQuest FAQ section***** Read more Show Less

Ships from: Altrincham, United Kingdom

Usually ships in 1-2 business days

  • Canadian
  • International
  • Standard, 48 States
  • Standard (AK, HI)
  • Express, 48 States
  • Express (AK, HI)
Seller since 2008

Feedback rating:


Condition: New

Ships from: Chicago, IL

Usually ships in 1-2 business days

  • Standard, 48 States
  • Standard (AK, HI)
Seller since 2015

Feedback rating:


Condition: New
Brand New Item.

Ships from: Chatham, NJ

Usually ships in 1-2 business days

  • Canadian
  • International
  • Standard, 48 States
  • Standard (AK, HI)
  • Express, 48 States
  • Express (AK, HI)
Seller since 2015

Feedback rating:


Condition: New
Brand new.

Ships from: acton, MA

Usually ships in 1-2 business days

  • Standard, 48 States
  • Standard (AK, HI)
Page 1 of 1
Showing All
Sort by


Actuarial work is the application of mathematics and statistics to the analysis of financial problems in life insurance, pensions, general insurance and investments. This unique introduction to the topic employs both a deterministic and stochastic treatment of the subject. It combines interest theory and life contingencies in a unified manner as well as covering basic risk theory. Fundamentals of Actuarial Mathematics presents the concepts in an original, accessible style, assuming a minimal formal background.
* Provides a complete review of necessary probability theory.
* Covers the Society of Actuaries' syllabus on Actuarial Models.
* Orders the topics specifically to facilitate learning, beginning with the simplest case of the deterministic discrete model, and then moving to the more complicated stochastic, continuous models.
* Employs modern calculation and computing techniques, such as spreadsheets.
* Contains a variety of exercises, both computational and theoretical.
* Supported by a website featuring exercises and further examples.
* Written by a highly respected academic with over 35 years teaching experience.

This book will be invaluable to senior undergraduate and graduate students, as well as actuarial professionals working in the life insurance or pension fields. Applied mathematicians and economists will also benefit greatly from the clear presentation and numerous examples.

Read More Show Less

Editorial Reviews

From the Publisher
"…the author deserves credit for the consistent content, simplicity, and clear presentation." (Technometrics, August 2007)

"…a useful alternative to the existing textbooks of actuarial mathematics…" (Mathematical Reviews, 2007d)

Read More Show Less

Product Details

  • ISBN-13: 9780470016893
  • Publisher: Wiley, John & Sons, Incorporated
  • Publication date: 2/10/2006
  • Edition description: Older Edition
  • Edition number: 1
  • Pages: 392
  • Product dimensions: 6.95 (w) x 9.82 (h) x 1.06 (d)

Table of Contents


Notation index.


1. Introduction and motivation.

1.1 Risk and insurance.

1.2 Deterministic versus stochastic models.

1.3 Finance and investments.

1.4 Adequacy and equity.

1.5 Reassessment.

1.6 Conclusion.

2. The basic deterministic model.

2.1 Cashflows.

2.2 An analogy with currencies.

2.3 Discount functions.

2.4 Calculating the discount function.

2.5 Interest and discount rates.

2.6 The constant interest case.

2.7 Values and actuarial equivalence.

2.8 The case of equal cashflows.

2.9 Balances and reserves.

2.10 Time shifting and the splitting identity.

*2.11 Change of discount function.

*2.12 Internal rate of return.

2.13 Standard notation and terminology.

2.14 Spreadsheet calculations.

2.15 Notes and references.


3. The life table.

3.1 Basic definitions.

3.2 Probabilities.

3.3 Constructing the life table from the values of qx.

3.4 Life expectancy.

3.5 Choice of life tables.

3.6 Standard notation and terminology.

3.7 A sample table.

3.8 Notes and references.


4. Life annuities.

4.1 Introduction.

4.2 Calculating annuity premiums.

4.3 The interest and survivorship discount function.

4.4 Guaranteed payments.

4.5 Deferred annuities with annual premiums.

4.6 Some practical considerations.

4.7 Standard notation and terminology.

4.8 Spreadsheet calculations.


5. Life insurance.

5.1 Introduction.

5.2 Calculating life insurance premiums.

5.3 Types of life insurance.

5.4 Combined benefits.

5.5 Insurances viewed as annuities.

5.6 Summary of formulas.

5.7 A general insurance–annuity identity.

5.8 Standard notation and terminology.

5.9 Spreadsheet applications.


6. Insurance and annuity reserves.

6.1 Introduction to reserves.

6.2 The general pattern of reserves.

6.3 Recursion.

6.4 Detailed analysis of an insurance or annuity contract.

6.5 Bases for reserves.

6.6 Nonforfeiture values.

6.7 Policies involving a return of the reserve.

6.8 Premium difference and paid-up formulas.

6.9 Standard notation and terminology.

6.10 Spreadsheet applications.


7. Fractional durations.

7.1 Introduction.

7.2 Cashflows discounted with interest only.

7.3 Life annuities paid mthly.

7.4 Immediate annuities.

7.5 Approximation and computation.

7.6 Fractional period premiums and reserves.

7.7 Reserves at fractional durations.

7.8 Notes and references.


8. Continuous payments.

8.1 Introduction to continuous annuities.

8.2 The force of discount.

8.3 The constant interest case.

8.4 Continuous life annuities.

8.5 The force of mortality.

8.6 Insurances payable at the moment of death.

8.7 Premiums and reserves.

8.8 The general insurance–annuity identity in the continuous case.

8.9 Differential equations for reserves.

8.10 Some examples of exact calculation.

8.11 Standard notation and terminology.

8.12 Notes and references.


9. Select mortality.

9.1 Introduction.

9.2 Select and ultimate tables.

9.3 Changes in formulas.

9.4 Further remarks.


10. Multiple-life contracts.

10.1 Introduction.

10.2 The joint-life status.

10.3 Joint-life annuities and insurances.

10.4 Last-survivor annuities and insurances.

10.5 Moment of death insurances.

10.6 The general two-life annuity contract.

10.7 The general two-life insurance contract.

10.8 Contingent insurances.

10.9 Standard notation and terminology.

10.10 Spreadsheet applications.

10.11 Notes and references.


11. Multiple-decrement theory.

11.1 Introduction.

11.2 The basic model.

11.3 Insurances.

11.4 Determining the model from the forces of decrement.

11.5 The analogy with joint-life statuses.

11.6 A machine analogy.

11.7 Associated single-decrement tables.

11.8 Notes and references.


12. Expenses.

12.1 Introduction.

12.2 Effect on reserves.

12.3 Realistic reserve and balance calculations.

12.4 Notes and references.



13. Survival distributions and failure times.

13.1 Introduction to survival distributions.

13.2 The discrete case.

13.3 The continuous case.

13.4 Examples.

13.5 Shifted distributions.

13.6 The standard approximation.

13.7 The stochastic life table.

13.8 Life expectancy in the stochastic model.

13.9 Notes and references.


14. The stochastic approach to insurance and annuities.

14.1 Introduction.

14.2 The stochastic approach to insurance benefits.

14.3 The stochastic approach to annuity benefits.

14.4 Deferred contracts.

14.5 The stochastic approach to reserves.

14.6 The stochastic approach to premiums.

14.7 The variance of rL.

14.8 Standard notation and terminology.

14.9 Notes and references.


15. Simplifications under constant benefit contracts.

15.1 Introduction.

15.2 Variance calculations in the continuous case.

15.3 Variance calculations in the discrete case.

15.4 Exact distributions.

15.5 Some nonconstant benefit examples.


16. The minimum failure time.

16.1 Introduction.

16.2 Joint distributions.

16.3 The distribution of T.

16.4 The joint distribution of (T J).

16.5 Approximations.

16.6 Other problems.

16.7 The common shock model.

16.8 Copulas.

16.9 Notes and references.



17. Compound distributions.

17.1 Introduction.

17.2 The mean and variance of S.

17.3 Generating functions.

17.4 Exact distribution of S.

17.5 Choosing a frequency distribution.

17.6 Choosing a severity distribution.

17.7 Handling the point mass at 0.

17.8 Counting claims of a particular type.

17.9 The sum of two compound Poisson distributions.

17.10 Deductibles and other modifications.

17.11 A recursion formula for S.

17.12 Notes and references.


18. An introduction to stochastic processes.

18.1 Introduction.

18.2 Markov chains.

18.3 Examples.

18.4 Martingales.

18.5 Finite-state Markov chains.

18.6 Multi-state insurances and annuities.

18.7 Notes and references.


19. Poisson processes.

19.1 Introduction.

19.2 Definition of a Poisson process.

19.3 Waiting times.

19.4 Some properties of the Poisson process.

19.5 Nonhomogeneous Poisson processes.

19.6 Compound Poisson processes.

19.7 Notes and references.


20. Ruin models.

20.1 Introduction.

20.2 A functional equation approach.

20.3 The martingale approach to ruin theory.

20.4 Distribution of the deficit at ruin.

20.5 Recursion formulas.

20.6 The compound Poisson surplus process.

20.7 The maximal aggregate loss.

20.8 Notes and references.


Appendix: A review of probability theory.

A.1 Introduction.

A.2 Sample spaces and probability measures.

A.3 Conditioning and independence.

A.4 Random variables.

A.5 Distributions.

A.6 Expectations and moments.

A.7 Expectation in terms of the distribution function.

A.8 Joint distributions.

A.9 Conditioning and independence for random variables.

A.10 Convolution.

A.11 Moment generating functions.

A.12 Probability generating functions.

A.13 Mixtures.

Answers to exercises.



Read More Show Less

Customer Reviews

Be the first to write a review
( 0 )
Rating Distribution

5 Star


4 Star


3 Star


2 Star


1 Star


Your Rating:

Your Name: Create a Pen Name or

Barnes & Review Rules

Our reader reviews allow you to share your comments on titles you liked, or didn't, with others. By submitting an online review, you are representing to Barnes & that all information contained in your review is original and accurate in all respects, and that the submission of such content by you and the posting of such content by Barnes & does not and will not violate the rights of any third party. Please follow the rules below to help ensure that your review can be posted.

Reviews by Our Customers Under the Age of 13

We highly value and respect everyone's opinion concerning the titles we offer. However, we cannot allow persons under the age of 13 to have accounts at or to post customer reviews. Please see our Terms of Use for more details.

What to exclude from your review:

Please do not write about reviews, commentary, or information posted on the product page. If you see any errors in the information on the product page, please send us an email.

Reviews should not contain any of the following:

  • - HTML tags, profanity, obscenities, vulgarities, or comments that defame anyone
  • - Time-sensitive information such as tour dates, signings, lectures, etc.
  • - Single-word reviews. Other people will read your review to discover why you liked or didn't like the title. Be descriptive.
  • - Comments focusing on the author or that may ruin the ending for others
  • - Phone numbers, addresses, URLs
  • - Pricing and availability information or alternative ordering information
  • - Advertisements or commercial solicitation


  • - By submitting a review, you grant to Barnes & and its sublicensees the royalty-free, perpetual, irrevocable right and license to use the review in accordance with the Barnes & Terms of Use.
  • - Barnes & reserves the right not to post any review -- particularly those that do not follow the terms and conditions of these Rules. Barnes & also reserves the right to remove any review at any time without notice.
  • - See Terms of Use for other conditions and disclaimers.
Search for Products You'd Like to Recommend

Recommend other products that relate to your review. Just search for them below and share!

Create a Pen Name

Your Pen Name is your unique identity on It will appear on the reviews you write and other website activities. Your Pen Name cannot be edited, changed or deleted once submitted.

Your Pen Name can be any combination of alphanumeric characters (plus - and _), and must be at least two characters long.

Continue Anonymously

    If you find inappropriate content, please report it to Barnes & Noble
    Why is this product inappropriate?
    Comments (optional)