Dating Death: An Empirical Comparison of Medical Underwriters in the U.S. Life Settlements Market
Type
conference paper
Date Issued
2017-08-01
Author(s)
Abstract
The value of a life settlement investment, which is a traded life insurance policy, is highly dependent on the life expectancy (LE) of the insured. We empirically demonstrate that LE has been the key driver in life settlement pricing, and we illustrate its relationship to the expected internal rate of return (IRR). Based on the analysis of life settlement transaction data from 2011 to 2016, we trace the patterns of LE estimates in both secondary and tertiary markets by major medical underwriters, and investigate systematic differences in their estimation.
Language
English
Event Title
Asia-Pacific Risk and Insurance Association (APRIA) Annual Conference
Event Location
Poznan
Subject(s)
Division(s)
Eprints ID
254392
File(s)![Thumbnail Image]()
Name
Presentation_medicalunderwriting-beamer.pdf
Size
6.09 MB
Format
Adobe PDF
Checksum (MD5)
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