Huang, H. C., Yang, S. Y., and Wang, M. C. 2017. The Valuation of Lifetime Cancer Insurance Policies. NTU Management Review, : 209-244. https://doi.org/10.6226/NTUMR.2017.FEB.RM104-010
Hong-Chih Huang, Professor, Department of Risk Management and Insurance, National Chengchi University
Shang-Yin Yang, Assistant Professor, Department of Finance, Tunghai University
Mng-Chi Wang, Specialist, Product Development, Nan Shan Life Insurance
Abstract
To address the valuation of lifetime cancer insurance policies, this article provides an analytical solution for the fair premium. The premium increase is a result of a continuous increase in the incidence of cancer, especially in the younger generation. The continued treatment rate and the medical cost increases with age. From 1998 to 2003, the maximum difference premium cost reached nearly 60 percent for males and 35 percent for females.
Keywords
cancer insuranceNational Health Insurance Research Databasemedical cost