FINA 5346 Risk Management Analytics

This is a course designed to provide students with an in-depth understanding of the risks individuals face and how to do manage such risks with the purchase of appropriate insurance policies. It will provide an introduction to the basic legal concepts relating to insurance such as the unilateral and aleatory nature of insurance contracts. It will explore various types of insurance which can be used to manage the risks of premature death, disability, health conditions, legal liability, property damage, long-term care and longevity. It will then provide an overview of the system of social insurance in the United States consisting of the Social Security, Medicare and Medicaid programs. Finally, it will explore the quantitative connection between finance and insurance in the form of basic time value of money calculations which underpin annuities, the cash value of and loans from permanent life insurance such as whole life, universal life and variable life policies.