Regulatory Forbearance and the Failure Cost for U.S. Property and Liability Insurers

2014 ◽  
Vol 40 (1) ◽  
pp. 66-88
Author(s):  
Yi-Hsun Lai ◽  
Wen-Chang Lin ◽  
Min-Ming Wen ◽  
Chien-Po Wang
Keyword(s):  
Failure Cost ◽  
Regulatory Forbearance

Currency Uncertainty, Interest Guarantee, and Risk-Based Premiums in Life Insurance Guaranty Schemes

2020 ◽  
Vol 14 (2) ◽  
Author(s):  
Shih-Chieh Bill Chang ◽  
Yen-Kuan Lee
Keyword(s):  
Yield Enhancement ◽  
Closed Form Solutions ◽  
Regulatory Policies ◽  
Life Insurers ◽  
Put Option ◽  
Asset Portfolio ◽  
Early Closure ◽  
Currency Mismatches ◽  
The Cost ◽  
Regulatory Forbearance

AbstractThis paper investigates risk-based premiums in ex-ante insurance guaranty schemes. Exchange rate risk is incorporated into the asset portfolio to reflect the growing practice of life insurers taking offshore risks for yield enhancement. The closed-form solutions of the risk-based premium charged by the insurance guaranty fund are derived. Our premium rating includes currency mismatches between assets and liabilities, and the effects of early closure, capital forbearance, and grace periods are fully explored. First, we discover that the insurance guaranty fund premium is underestimated if currency fluctuation uncertainty is overlooked. Second, the premium is higher under regulatory forbearance than it is under the Merton stock put option, which implies that the cost is substantial. Finally, we note that the premium increases with higher financial leverage and greater foreign exposure in the asset portfolio. The results of our analysis provide further insight for regulators to implement regulatory policies and insurance guaranty schemes.

Feeder Bus Timetable Design and Vehicle Size Setting in Peak Hour Demand Conditions

2019 ◽  
Vol 2673 (10) ◽  
pp. 321-332 ◽  
Author(s):  
Xueping Dou ◽  
Qiang Meng
Keyword(s):  
Mixed Integer ◽  
Arrival Times ◽  
Non Linear Programming ◽  
Bee Colony ◽  
Proposed Model ◽  
Feeder Bus ◽  
Minlp Model ◽  
Failure Cost ◽  
Set Up ◽  
The Given

This study proposes a solution to the feeder bus timetabling problem, in which the terminal departure times and vehicle sizes are simultaneously determined based on the given transfer passengers and their arrival times at a bus terminal. The problem is formulated as a mixed integer non-linear programming (MINLP) model with the objective of minimizing the transfer waiting time of served passengers, the transfer failure cost of non-served passengers, and the operating costs of bus companies. In addition to train passengers who plan to transfer to buses, local passengers who intend to board buses are considered and treated as passengers from virtual trains in the proposed model. Passenger attitudes and behaviors toward the waiting queue caused by bus capacity constraints in peak hour demand conditions are explicitly embedded in the MINLP model. A hybrid artificial bee colony (ABC) algorithm is developed to solve the MINLP model. Various experiments are set up to account for the performance of the proposed model and solution algorithm.

Life Cycle Cost Management Strategy on Corrosion Deterioration and Fatigue Damage of Steel Girder Bridge

2008 ◽  
Vol 385-387 ◽  
pp. 845-848
Author(s):  
Moe M.S. Cheung ◽  
Kevin K.L. So ◽  
Xue Qing Zhang
Keyword(s):  
Life Cycle ◽  
Fatigue Damage ◽  
Life Cycle Cost ◽  
Management Strategies ◽  
Maintenance Cost ◽  
Steel Girder ◽  
Damage Models ◽  
Failure Cost ◽  
Steel Girder Bridge ◽  
Girder Bridge

This paper proposes a life-cycle cost (LCC) management methodology that integrates corrosion deterioration and fatigue damage mechanisms. This LCC management methodology has four characterized features: (1) corrosion deterioration and fatigue damage models are used to predict the time when the pre-defined limits are reached; (2) the performance of the steel girder is measured by condition state sets in which deflection, moment and shear capacities and fatigue strength limits are considered altogether; (3) the cost-effectiveness of management strategies are measured by the performance improvement per unit of money spent; and (4) the LCC model includes initial design/construction cost, inspection cost, maintenance cost, repair/rehabilitation cost and failure cost. A steel girder bridge is used as an example to demonstrate the application of the proposed LCC management methodology.

A Security Framework for Secure Cloud Computing Environments

2019 ◽  
pp. 249-263 ◽  
Author(s):  
Mouna Jouini ◽  
Latifa Ben Arfa Rabai
Keyword(s):  
Cloud Computing ◽  
New Technology ◽  
Security Risk ◽  
Security Issues ◽  
On Demand ◽  
Cloud Computing Adoption ◽  
Failure Cost ◽  
Computing Environments ◽  
Secure Cloud Computing ◽  
Security Risk Assessment

Cloud computing technology is a relatively new concept of providing scalable and virtualized resources, software and hardware on demand to consumers. It presents a new technology to deliver computing resources as a service. It offers a variety of benefits like services on demand and provisioning and suffers from several weaknesses. In fact, security presents a major obstacle in cloud computing adoption. In this paper, the authors will deal with security problems in cloud computing systems and show how to solve these problems using a quantitative security risk assessment model named Multi-dimensional Mean Failure Cost (M2FC). In fact, they summarize first security issues related to cloud computing environments and then propose a generic framework that analysis and evaluate cloud security problems and then propose appropriate countermeasures to solve these problems.

A Multi-Dimensional Mean Failure Cost Model to Enhance Security of Cloud Computing Systems

2019 ◽  
pp. 211-225
Author(s):  
Mouna Jouini ◽  
Latifa Ben Arfa Rabai
Keyword(s):  
Cloud Computing ◽  
Cost Model ◽  
Quantitative Model ◽  
Security Risk ◽  
Computing Systems ◽  
Security Breaches ◽  
On Demand ◽  
Cloud Computing Adoption ◽  
Failure Cost ◽  
Security Risk Assessment

Cloud computing technology is a relatively new concept of offering reliable and virtualized resources, software and hardware on demand to users. It presents a new technology to deliver computing resources as a service. It allows several benefits for example services on demand, provisioning, shared resources and pay per use and suffers from several challenges. In fact, security presents a major obstacle in cloud computing adoption. In this paper, the authors will deal with security problems in cloud computing systems and estimate security breaches using a quantitative security risk assessment model. Finally, the authors use this quantitative model to solve these problems in cloud environments.

The Rigorous Security Risk Management Model

2018 ◽  
pp. 1299-1317
Author(s):  
Neila Rjaibi ◽  
Latifa Ben Arfa Rabai
Keyword(s):  
Risk Management ◽  
Cyber Security ◽  
Linear Models ◽  
Management Model ◽  
Security Risk ◽  
Security Threat ◽  
Risk Management Process ◽  
Failure Cost ◽  
The Mean ◽  
Security Risk Management

This chapter presents the security concepts terminologies (threat, risk, security risk management, security risk management process, security threat model) and present the state of the art of security risk management models, compare and discuss strengths and weaknesses of such models. Then it presents the Mean Failure Cost (MFC) model for quantifying security threats as a rigorous measure of cyber security, and as a cascade of linear models in order to estimate the system security using the loss of a given stakeholders as a result of security breakdown. Finally it presents an overview of the applicability of the MFC measure to e-systems. In the conclusion, the chapter criticizes the MFC Cyber Security Measure and presents an overview of different perspectives.

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