• DocumentCode
    2123803
  • Title

    Optimal dividend and capital injection of the insurance company with proportional reinsurance policy

  • Author

    Liu Guoxin ; Zhang Shuaiqi

  • Author_Institution
    Sch. of Sci., Heibei Univ. of Technol., Tianjin, China
  • fYear
    2010
  • fDate
    29-31 July 2010
  • Firstpage
    1592
  • Lastpage
    1597
  • Abstract
    This paper deals with the optimal control problem of the insurance company with proportional reinsurance policy. By controlling the dynamic reinsurance rate, dividends payout as well as the equity issuance processes, we maximize the cumulative expected discounted dividends payout minus the equity issuance. Moreover, we prove that it is optimal to issue new equity when the process hits 0.
  • Keywords
    insurance; optimal control; capital injection; cumulative expected discounted dividends payout; dynamic reinsurance rate; equity issuance process; insurance company; optimal control problem; optimal dividend; proportional reinsurance policy; Companies; Equations; Insurance; Mathematical model; Optimal control; Process control; Stochastic processes; Capital injection; HJB equation; Mixed singular-regular control; Optimal dividend control; Proportional reinsurance; Stochastic control;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Control Conference (CCC), 2010 29th Chinese
  • Conference_Location
    Beijing
  • Print_ISBN
    978-1-4244-6263-6
  • Type

    conf

  • Filename
    5574069