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http://dx.doi.org/10.7465/jkdi.2013.24.3.603

Analyzing rainfall patterns and pricing rainfall insurance using copula  

Choi, Changhui (KWeather Inc.)
Lee, Hangsuck (Department of Actuarial Science/Mathematics, Sungkyunkwan University)
Ju, Hyo Chan (Department of Mathematics, Sungkyunkwan University)
Publication Information
Journal of the Korean Data and Information Science Society / v.24, no.3, 2013 , pp. 603-623 More about this Journal
Abstract
This paper proposes analyzing monthly rainfall patterns using copula and pricing related rainfall insurance using it. We analyze 30-year monthly precipitation data for 9 Korean cities between June and September using copula showing so that it can effectively generate realistic monthly rainfall patterns. In addition, we show that our copula rainfall models can be used in pricing various kinds of rainfall insurances effectively.
Keywords
Copula; pricing insurance; rainfall (precipitation) insurance; simulation; weather insurance;
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Times Cited By KSCI : 2  (Citation Analysis)
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