• Communications for Statistical Applications and Methods
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• v.20 no.4
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• pp.321-327
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• 2013

Bayesian and empirical Bayesian methods have become quite popular in the theory and practice of statistics. However, the objective is to often produce an ensemble of parameter estimates as well as to produce the histogram of the estimates. For example, in insurance pricing, the accurate point estimates of risk for each group is necessary and also proper dispersion estimation should be considered. Well-known Bayes estimates (which is the posterior means under quadratic loss) are underdispersed as an estimate of the histogram of parameters. The adjustment of Bayes estimates to correct this problem is known as constrained Bayes estimators, which are matching the first two empirical moments. In this paper, we propose a way to apply the constrained Bayes estimators in insurance pricing, which is required to estimate accurately both location and dispersion. Also, the benefit of the constrained Bayes estimates will be discussed by analyzing real insurance accident data.

• Journal of the Korean Data and Information Science Society
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• v.20 no.3
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• pp.515-526
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• 2009

Pricing based on proper risk has been one of main issues in auto insurance. In this paper, we review how the techniques of pricing in auto insurance have been developed and suggest a better approach which meets the existing risk statistically by comparison. The generalized linear model (GLM) method is discussed for pricing with different distributions. With GLM approach, the distribution of error assumed plays an main role for the best fit corresponding to the characteristics of dependent variables. Tweedie distribution is considered as one of error distributions in addition to widely used Gamma and Poisson distribution. With these different types of error assumption for estimating the proper premium in auto insurance, various modeling approaches are possible. In this paper, various modeling approaches with different assumptions for estimating proper risk is discussed and also real example is given by assuming different.

• The Journal of the Korean life insurance medical association
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• v.27 no.2
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• pp.75-79
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• 2008

This article summarizes current knowledge about the metabolic syndrome (MetSyn) and addresses the question, "Does the MetSyn add new information that is important from an underwriting and pricing perspective?"

• Journal of the Korean Data and Information Science Society
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• v.24 no.3
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• pp.603-623
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• 2013

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.

• Journal of Korean Clinical Health Science
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• v.1 no.3
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• pp.1-9
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• 2013

Purpose. This research is implemented to identify the status of educations about the pricing standard, status of the cognition of the pricing standard, and the solutions to the questions on the pricing standard of the oral health professionals. it will provide the easier accessibility to the annual changes in Dental Health Insurance Standards to the oral health professionals. Methods. The research subjects are the total 204 oral health professionals in limited area, and it was analyzed with structured questionnaires. The collected data is analyzed by IBM SPSS ver. 19.0, a statistical program (IBM Co., Armonk, NY, USA) for the frequency and percentage, and ANOVA. The result is as following Results. The awareness of dental health insurance standard was statistically significant differences by age (p<0.01), career (p<0.001), the prime task (p<0.01), and dental insurance claimants (p<0.05). The awareness of the standard was statistically significant differences by educational training within last 6 months (p<0.05), the cognition of the standard (p<0.001), and solutions for the questions (p<0.05). Conclusions. As the results of the research, it is necessary to develop the educational program under condition of age, career, main task, and better understanding in Dental Health Insurance Standard for oral health professional.

• Communications for Statistical Applications and Methods
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• v.21 no.3
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• pp.235-243
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• 2014

Constrained Bayesian estimates overcome the over shrinkness toward the mean which usual Bayes and empirical Bayes estimates produce by matching first and second empirical moments; subsequently, a constrained Bayes estimate is recommended to use in case the research objective is to produce a histogram of the estimates considering the location and dispersion. The well-known squared error loss function exclusively emphasizes the precision of estimation and may lead to biased estimators. Thus, the balanced loss function is suggested to reflect both goodness of fit and precision of estimation. In insurance pricing, the accurate location estimates of risk and also dispersion estimates of each risk group should be considered under proper loss function. In this paper, by applying these two ideas, the benefit of the constrained Bayes estimates and balanced loss function will be discussed; in addition, application effectiveness will be proved through an analysis of real insurance accident data.

• Communications for Statistical Applications and Methods
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• v.30 no.5
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• pp.437-451
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• 2023

Generalized linear models and generalized linear mixed models (GLMMs) are fundamental tools for predictive analyses. In insurance, GLMMs are particularly important, because they provide not only a tool for prediction but also a theoretical justification for setting premiums. Although thousands of resources are available for introducing GLMMs as a classical and fundamental tool in statistical analysis, few resources seem to be available for the insurance industry. This study targets insurance professionals already familiar with basic actuarial mathematics and explains GLMMs and their linkage with classical actuarial pricing tools, such as the Buhlmann premium method. Focus of the study is mainly on the modeling aspect of GLMMs and their application to pricing, while avoiding technical issues related to statistical estimation, which can be automatically handled by most statistical software.

• Korean Journal of Clinical Pharmacy
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• v.28 no.2
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• pp.124-130
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• 2018

Objective: This study examined the Risk Sharing Agreement (RSA) on pharmaceutical pricing system in Korean national health insurance. Through RSA, the insurer was able to maintain the principles in the price listing process while managing the budget effectively and improving patient access to new drugs. Despite these positive effects, there are still issues raised by some stakeholders, such as lack of transparency in the listing process and doubts about its effectiveness. Therefore, we investigated the impacts of RSA on national health insurance financing and patient access to analyze the effects of RSA. Methods: The impact of RSA was investigated by analyzing the health insurance claims data for 2014~2016. The degree of improvement in patient access was determined by the decreased amount of patients' payment. Results: Results showed that the financial impact of RSA was not significant and patients' access to the new drug greatly improved. Conclusion: These results show that RSA is a good system for improving patient access to new drugs without additional expense on insurance.

• The Korean Journal of Financial Management
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• v.20 no.1
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• pp.279-304
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• 2003

This study presents some empirical results on variable rate deposit insurance premium in Korea. The study estimates deposit insurance premium for all insured financial institutions in Korea using Ronn and Verma(1986) model which is based on Merton(1977)'s option pricing model. The sample period is 1995-2001 and the study includes trend analysis and cross-sectional analysis for premium estimation. The study also includes the correlation analysis between the estimates and profitability and capitalvariables such as BIS capital ratios, ROE and ROA. The results show that the estimates differ across financial institutions and sample periods. Thus it supports that each deposit premium should reflect its own risks. It also supports the necessity for the system of variable rate deposit insurance premium.

• Korea Journal of Hospital Management
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• v.14 no.4
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• pp.52-70
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• 2009

This study is to analyse the reimbursement prices of drugs in Japan. Japan has the world's second-largest pharmaceutical market, and the world's largest price-controlled pharmaceutical market. The reimbursement prices of new drugs in Japan are determined by confidential negotiations between the manufacturer and the Japanese Ministry of Health, Labor, and Welfare. Pharmaceuticals account for a larger share of total healthcare expenditures in Japan than in most other major pharmaceutical markets such as France, Germany, United Kingdom and United States. Prescription drugs' share of total healthcare spending has slightly increased in recent years, from 20.2% in 2000 to 21.5% in 2004, the most recent year for which data are currently available. This trend is attributable to the effect of the Japanese rapidly aging population that stimulates demand for healthcare services. There are several method of price setting for drugs as below. First, on the initial pricing of branded drugs, is the similar-efficacy pricing method and cost calculation method. Second is postmarketing price changes which are biennial price revisions under the rule of National Health Insurance. Third is the rule of the generics price. Recently, the generics market is expanded because there are increasing numbers of hospitals by DPCs(Diagnosis-procedure Combinations).