STK1500 – Insurance, economy and risk

Schedule, syllabus and examination date

Course content

The course provides an elementary introduction to insurance, economy, risk and reliability. More specifically, the subject introduces the most central concepts in micro- and macroeconomics, through examples that are directly relevant in insurance mathematics. A leitmotif in the subject is the concept of risk, which, in short, is about quantifying the uncertainty of unwanted events that involve financial losses. The course also offers an introduction to so-called reinsurance, which is used in the insurance industry as a measure to insure against large losses. Finally, the subject includes an introduction to the field of reliability.

Learning outcome

After completing the course you have

  • gained insight into the most central concepts within micro and macroeconomics such as, e.g. interest, inflation, price growth, supply, demand, elasticity, utility, etc.
  • knowledge about how interest is defined and used to calculate the value of, for example, a loan or a mortgage
  • the possibility to model non-life and life insurance risks at a basic level and some of the most classic contracts
  • knowledge of reinsurance as a tool to protect against large losses and how to optimize these
  • understanding of the concept of risk and learned to carry out risk calculations in computers using simulation methods
  • acquired understanding of the numbers and figures that are included in actuarial analyses
  • been introduced to the topic of reliability of systems.

Admission to the course

Students who are admitted to study programmes at UiO must each semester register which courses and exams they wish to sign up for?in Studentweb.

Special admission requirements

In addition to fulfilling the?Higher Education Entrance Qualification, applicants have to meet the following special admission requirements:

  • Mathematics R1 (or Mathematics S1 and S2) + R2

And in addition one of these:

  • Physics (1+2)

  • Chemistry (1+2)

  • Biology (1+2)

  • Information technology (1+2)

  • Geosciences (1+2)

  • Technology and theories of research (1+2)

The special admission requirements may also be covered by?equivalent studies from Norwegian upper secondary school or by other equivalent studies?(in Norwegian).