Business Administration, Management, and Operations Commons^™

Annuity Choices For Pensioners, Zaki M. Khorasanee

Journal of Actuarial Practice (1993-2006)

We consider two ways for a retiree to obtain a pension from a retirement fund: through the purchase of a whole life annuity providing a level monetary income; and through the withdrawal of income from a fund invested in equities. Deterministic and stochastic models are used to assess the risks and benefits associated with each approach. In each case the projected cash flows are compared with those from a whole life annuity providing an income linked to price inflation. We conclude that, although each of the two options conSidered involves significant risks, each method may be attractive to certain groups …

A Proposal For Improving The System Of Financing Health Care In Singapore, Robert Keng Heong Lian, Loi Soh Loi

Journal of Actuarial Practice (1993-2006)

Like many other countries, including the United States, Singapore faces the dual problems of rising health care costs and an aging population. To cope with these problems, the Singapore government introduced the Medishield scheme in 1989 that provides low cost catastrophic medical insurance coverage. The scheme suffers from a serious deficiency, however: coverage ceases at age 70. This deficiency is exacerbated by Medishield's premium payment structure which is akin to the premium structure of a one year renewable term policy so no reserves are developed. As a result, coverage beyond age 70 requires exorbitant premiums that are beyond the reach …

Nonmedical Limits In Individual Life Insurance, James B. Ross, Shalini E. Perumpral

Journal of Actuarial Practice (1993-2006)

This paper shows data that illustrate the substantial variation among nonmedical schedules and the dramatic increase in their amount limits from 1972 through 1992. Coefficients of variation are analyzed for several data subsets. We find that the variation of schedules in the sample of all firms has increased throughout the 1972-1992 period for issue ages up to 30, but has declined for issue ages beyond 30 during the 1982-1992 period. For the non-New York and stock companies our statistical tests indicate an increase in the variability of schedules over the full period 1972 to 1992.

Pension Funding By Normal Costs Or Amortization Of Unfunded Liabilities, Keith P. Sharp

Journal of Actuarial Practice (1993-2006)

We discuss the extent of the actuary's freedom in choosing the funding method for defined benefit pension plans. In particular, we look at funding through a combination of normal costs, amortization of an unfunded liabilities, and fund of assets. The IRS constraint on "reasonable funding methods" is considered, with particular mention of the aggregate entry age normal method. In addition, an algebraic development is performed of year-to-year changes in the status of a plan's funding.

Incorporating The Impact Of Learning In Assessing The Effectiveness Of Cellular Manufacturing, Vijay R. Kannan

Management Faculty Publications

Previous studies suggest that despite their intuitive appeal, cellular manufacturing systems are only effective in a batch production environment under a limited set of conditions. However, these studies have not taken into account the potential for productivity improvements unique to shops organized around product and work groups. Improvements that yield processing time reductions and rapid movement down the learning curve may offset the limited flexibility that typically compromises the performance of cellular shops. This paper demonstrates that if a cellular shop can yield even marginally greater reductions in processing times than a job shop, it can outperform the job shop …

1996 Faculty Senate Meeting Minutes & Supplementary Materials, Morehead State University. Faculty Senate.

Faculty Senate Records

Faculty Senate Meeting Minutes & Supplementary Materials for 1996.

What We Say In The Naic Annual Statement Blank Actuarial Opinion, Kenneth W. Faig Jr.

Journal of Actuarial Practice (1993-2006)

The new language adopted for the actuarial opinion in the National Association of Insurance Commissioners' model actuarial opinion and memorandum regulation has been weakened at the same time the responsibilities of the opining actuary have been increased. The restoration of stronger language to the actuarial opinion would enhance the professional image of the actuary. If the legal environment for professional liability inhibits such a change, the opinion should be changed to describe more precisely the work performed and the conclusion reached by the actuary.

Third Party Administrator (Tpa) Service Pricing And Incentive Contracts, Hou-Wen Jeng

Journal of Actuarial Practice (1993-2006)

This paper addresses a few of the most important pricing issues faced by a third party administrator (TPA) whose main responsibility is claims handling for self·insured employers and self·insured groups. Such pricing issues include the development of service fees using claim closure information, the selection of service durations, and the design of incentive (either activity-based or financially-based) service contracts. Formulas for pricing new and open claims are provided.

Disclosure And Confidentiality Requirements Of Corporate Pension Plan Actuaries, Theodore Konshak

Journal of Actuarial Practice (1993-2006)

Corporate pension plan actuaries are subject to the standards of the Joint Board for the Enrollment of Actuaries. The Joint Board is empowered to establish such standards under the provisions of the Employee Retirement Income Security Act of 1974, a federal law. In consideration of these statutory standards, this article will discuss whether standards published by professional actuarial organizations have any applicability. The contrast between the disclosure requirements of federal law and the confidentiality standards of the Society of Actuaries will be highlighted.

Asset Allocation In Investing To Meet Liabilities, Anthony Dardis, Vinh Loi Huynh

Journal of Actuarial Practice (1993-2006)

We present some rudimentary concepts on asset/liability management and describe an approach to asset allocation modeling for institutions that invest to meet liabilities. The traditional risk/reward framework of financial economics is used as a starting pOint. The definitions of risk and reward are then refined with regard to the institution under consideration. A simple model of a U.S. life office is examined. We assume that the only investments available are domestic stocks and long-dated government bonds. Stochastic simulation is used to create a large number of future investment scenarios using historical total return data for these asset classes. The ability …

Concentration In American Property-Casualty Companies, Edward Nissan

Journal of Actuarial Practice (1993-2006)

A Theil's entropy index utilizing premiums written as units is employed to measure trends in concentration of the largest 200 property-casualty companies in the United States between 1985 and 1993 based on Best's Insurance Report data. Each of the indexes confirms that concentration trends experienced no increase for the whole period for all 200 firms, the top 20, and subsets of lower ranked companies. Significant differences are observed, however, between groups of companies for the same period.

Methodologies For Determining Reserve Liabilities In The Workers Compensation High Deductible Program, Jerome J. Siewert

Journal of Actuarial Practice (1993-2006)

In this paper I describe several approaches for estimating liabilities under a high deductible program, including a proposal for a more sophisticated approach relying upon a loss distribution model. The discussion addresses several related issues dealing with deductible size and mix, absence of longterm histories, and the determination of consistent loss development factors among deductible limits. In addition, I propose several approaches for estimating aggregate loss limit charges, if any, and the asset value for associated servicing revenue.

Participating Gics: Performance Attribution Analysis, Alec Stais, John P. Toohey Iii

Journal of Actuarial Practice (1993-2006)

The increasing popularity of participating GICs has created a need for an objective understanding of their performance. The fixed income attribution techniques are not adequate for measuring participating GIC performance because they typically restrict performance measurement to concepts such as duration management, sector rotation, and issue selection. We develop an attribution technique based on four components or effects that are helpful in explaining the changes in credited rates. They are the constant duration effect, the reinvestment effect, the cash flow effect, and the investment effect. The underlying mathematical approach to calculating these effects is presented along with examples.

Bias Of Excluding High And Low Data For Long-Tailed Distributions, Cheng-Sheng Peter Wu

Journal of Actuarial Practice (1993-2006)

Property and casualty actuaries frequently employ a technique of averaging (called high-low averages) that excludes the same amount of data at both ends. For example, (0 in selecting loss development factors, the middle three of the latest five years or the middle eight of latest 12 quarters sometimes are used, or (ii) in calculating average expense ratios, the largest expense ratios and the smallest expense ratios may be removed from the sample. Although highlow averages can reduce the impact of influential data on analyzed results, the averages will result in downward bias when they are applied to pricing or reserving …

An Approach To Estimating Market Value And Duration Of Interest-Sensitive Whole Life Contracts, Thomas J. Merfeld

Journal of Actuarial Practice (1993-2006)

A fixed premium interest·sensitive whole life contract is analyzed in order to estimate its market value. In addition, using various definitions of duration, we determine the duration of the contract for each definition. The results of this analysis have implications for market value accounting of life insurance liabilities and for life company portfolio management.

Nonmedical Limits In Individual Life Insurance, James B. Ross, Shalini E. Perumpral

Journal of Actuarial Practice (1993-2006)

This paper shows data that illustrate the substantial variation among nonmedical schedules and the dramatic increase in their amount limits from 1972 through 1992. Coefficients of variation are analyzed for several data subsets. We find that the variation of schedules in the sample of all firms has increased throughout the 1972-1992 period for issue ages up to 30, but has declined for issue ages beyond 30 during the 1982-1992 period. For the non-New York and stock companies our statistical tests indicate an increase in the variability of schedules over the full period 1972 to 1992.

How Does One Start A Business In Jamaica?, Mary-Ann Natale

Graduate Student Dissertations, Theses, Capstones, and Portfolios

Objective:

To provide a company with a comprehensive overview of the governmental as well as social process as it relates to the formulation of a business entity in Jamaica.

Methodology:

1) Literature review of magazine articles and books.

Conclusions:

The results of this project gives a company an easily understandable and executable document, with which one could form and operate a business entity within the Jamaican governmental guidelines. This document also shows that the hospitality industry (i.e. Hotels/Restaurants) is quite a predominant field to be entering in at this time in Jamaica. Throughout this exposition one could conclude that in …

Towards A Model For Software Project Estimating, Stuart Hope

Theses : Honours

The use and development of software is an integral and critical part of modern industrial society. The outcomes of many software development and maintenance projects have been less than satisfactory with significant numbers being over schedule, lacking in functionality and over budget. These problems are the result of poor management of both the process and the product. One of the major problems to overcome in the management of software development projects is the ability to predict the outcomes early in the project when there are a large number of unknowns. The ability to reliably predict the outcomes in a repeatable …

Annual Report 1996, Houston Academy Of Medicine-Texas Medical Center Library

Annual Reports: 1943 - Present

The file contains the annual report for the library from 1996.

Managing Change For A Distance Learning Initiative: An Evaluation, Jeanie Pollard Kline

Dissertations, Theses, and Masters Projects

The purpose of this case study was to examine the degree to which those managing change for a distance learning initiative followed David Nadler's (1989) four action steps designed to reduce resistance in making the transition from the former operational state to a newly-created state.;The four action steps include providing opportunities for participation among employees, allowing employees to identify current operations that will not work in the new organizational state, rewarding behavior that assists in the transition, and allowing sufficient time for the change to take place. The findings in this study revealed that participation was the critical component that …

Factors Associated With Emergency Room Choice Among Medicare Patients, Judith L. Mack, Karen M. File, Jeffrey E. Horwitz, Russ Alan Prince

WCBT Faculty Publications

Changing macroenvironmental factors have caused hospital administrators to reassess their positions across all service lines and market segments. This pilot study explores relationships among the service experience, satisfaction and future patronage decisions among 368 Medicare patients, an often overlooked segmaent, who were recent users of a hospital emergency room.

Fund-Raising Systems In Children's Museums: An Analysis Of Fund-Raising Behavior And Philanthropic Income Trends, Elizabeth A. Potter

Walden Dissertations and Doctoral Studies

The problem under investigation. This dissertation analyzed philanthropic donations and fund-raising behavior in children's museums. The research embodies a descriptive, inductive, and deductive study which infers that philanthropic donations increase gradually and are influenced by an organization's fund-raising behavior.

The subjects. A stratified random sample of 15 small, 47 medium, and 20 large U.S. children's museums were surveyed; operating budgets determined museum size.

The methodology. Time-series statistical techniques and economic data measures calculated the change in children's museum philanthropic donations from 1990-1994. Correlation coefficients determined the relationships between the income variables. The fund-raising behavior variables, nominal data, were calculated in …

America's Shifting Fascination With Comparative Corporate Governance, Edward B. Rock

All Faculty Scholarship

No abstract provided.

Outsourcing In Western Australian Hospitals: Management Considerations, Geraldine M. Martin

Theses: Doctorates and Masters

This thesis examines Health Care Managers' considerations with and experiences of outsourcing services in Western Australian hospitals. Support services such as cleaning and maintenance are some of the areas which have been targeted for outsourcing (contracting out) by the state government. These services have traditionally been delivered by permanently employed staff either on a full or part- time basis, usually with active union involvement. Core services such as nursing and medical care which involve direct patient care delivery are not included in the outsourcing debate. Firstly, this thesis reviews the literature on outsourcing and its application to the health care …

The Context, Lawrence Lad

Lawrence J. Lad

Legal Issues In Multinational Business Strategy: To Play The Game, You Have To Know The Rules, James A. Belohlav

James A. Belohlav

No abstract provided.