👉 Insured math, or actuarial science applied in insurance, is a branch of mathematics that quantifies risk and uncertainty to determine the financial impact of potential events on insurance policies. It involves complex statistical models, probability theory, and financial mathematics to calculate premiums, reserves, and claims. Insured math uses historical data, actuarial tables, and stochastic processes to predict future events like accidents, illnesses, or natural disasters. This allows insurers to set appropriate premium rates that cover expected losses and operational costs while ensuring profitability. It also helps in designing insurance products tailored to specific risks, managing risk portfolios, and assessing the financial stability of insurance companies.
