A historical collection of our writing.
In an earlier post in my mini series on insurance fundamentals I explained the concept of moral hazard, which refers to an information asymmetry as having insurance changes unobserved behavior which increases the risk or severity of loss. There is another information asymmetry in insurance that […] Read more (opens Continuations in a new tab)
So in one of my earlier posts on insurance fundamentals, I included an “exercise for the reader.” The question was to figure out how much money it would cost for the hypothetical insurance scheme in the example to buy re-insurance for those cases where they had not collected enough in premiums to […] Read more (opens Continuations in a new tab)
In the previous post in my mini-series on insurance fundamentals I provided a numerical example that has a 1 in 100 probability of a loss of $50. I explained how the fair rate to insure this would be 50 cents, because that’s the amount at which the expected financial loss equals the premium […] Read more (opens Continuations in a new tab)
AlphaGo has won its series in the game Go against grandmaster Lee Sedol 4-1. I wrote an initial post about AlphaGo after its first victory against a lesser ranked player. Humans have very big brains compared to the neural networks used by the program which shows that humans are unlikely to be able […] Read more (opens Continuations in a new tab)
In the two previous posts on insurance fundamentals, I introduced a fundamental inequality relating payouts to premiums and the concept of risk aversion. Today we will look at this through a bit of a numerical example. We will look at a risk that has a 1 in 100 chance of occurring and when it does […] Read more (opens Continuations in a new tab)
Video is everywhere these days and for good reason. Even a short video clip contains a lot more information than a still image. But playing back videos in a way that works across browsers and devices has been tricky. Just using the HTML5 video tag means you have no control over the controls on the […] Read more (opens Continuations in a new tab)
