16/17 Nov 2017 in Munich

Health Insurance: From the Actuarial Background to Product Development

In a broad sense, the expression health insurance denotes a large set of insurance products providing benefits in the case of need arising from either accident or illness, and leading to loss of income (partial or total, permanent or non-permanent), and/or expenses (hospitalization, medical and surgery expenses, nursery, rehabilitation, etc.). Nevertheless, it should be stressed that, in several countries, the expression “health insurance” has a different meaning (in many cases, a more restricted meaning); hence, the first problem we have to deal with is to define a clear “language”.

In the framework of health insurance (meant in a broad sense), we find traditional products, e.g. personal accident insurance, or sickness insurance with medical expense reimbursement and hospitalization benefits. More recently, new health insurance products have been proposed, for example Critical Illness covers and Long-term Care insurance (LTCI). In particular, LTCI products deserve great attention for various reasons. On the one hand, LTCI provides benefits of remarkable interest in the current demographic and social context. On the other hand, LTCI covers are “difficult” insurance products both from the insurer’s and the individual perspective.

Organised by the EAA - European Actuarial Academy GmbH.


Every participant will receive a free copy of the book “Health Insurance - Basic Actuarial Model” on-site (value of 42.79 €).

The seminar is open to all interested persons, such as actuaries operating in both life and non-life insurance companies as well as in pension funds, consultants and supervisors. It is expected that the participants have an understanding of elementary calculus and basic probability theory.

During this seminar you will not need your laptop.

Purpose and Nature

The seminar aims at providing the participants with a good understanding of the nature of health insurance products and related actuarial aspects, going into details on some particular and critical features and outlining recent developments.

To this purpose, the seminar first focuses on the individual need for health insurance covers, then moving to the type of benefits provided. Special attention is placed on LTCI products and on possible packaging of health-related benefits with lifetime-related benefits, such as death benefits and life annuities. Besides the presentation of actuarial background, basic ideas and theory based on the book “Health Insurance. Basic actuarial models” (published in the EAA Series of Springer), numerical examples, concrete applications and implementation as well as risk management aspects will be shown. Every participant of the seminar will receive a free copy of the book.

More specifically, the following topics will be covered:

  • The individual need for health insurance
  • Health insurance products and related benefits
    • Accident insurance
    • Sickness insurance
    • Disability annuities and Income Protection
    • Critical Illness covers
    • Long-term Care Insurance (LTCI)
  • Combining Health and Life benefits
  • Premiums and reserves calculation
  • Ageing reserves in health insurance
  • Active and disabled reserves in Income Protection covers
  • Linking sickness benefits to an inflation index
  • Choice of biometrical bases and sensitivity analysis for LTCI products 
    • Senescent disability inception rates
    • Extra-mortality of disabled people
  • Long-term contracts: examples, calculation, actuarial assumptions
  • Crucial aspects of Risk management for health insurance
  • International trends and developments in health insurance


The language of the seminar will be English.


Ermanno Pitacco
Ermanno Pitacco is full professor of Actuarial mathematics and Life insurance technique in the University of Trieste as well as academic director of the Master in Insurance and Risk Management at the MIB School of Management of Trieste. In addition he has been visiting professor in various universities (recently: University of New South Wales, Sydney; University of Louvain-La-Neuve; University of Ljubljana, University of Zagreb).
Main fields of scientific interest are life and health insurance mathematics and techniques, pension mathematics, longevity risk and portfolio valuations. He is author or co-author of textbooks and papers in the fields of scientific interest. His papers have been published, among the others, on: Insurance Mathematics & Economics, ASTIN Bulletin, Journal of Pension Economics and Finance, Risks, Geneva Papers on Risk and Insurance, Belgian Actuarial Bulletin, Journal of Actuarial Practice, Applied stochastic models in business and industry, AStA Advances in Statistical Analysis, Giornale dell’Istituto Italiano degli Attuari.

David Richter
David Richter is Manager within the Actuarial Services Team of PricewaterhouseCoopers Germany focusing on health insurance. As such he is in charge of actuarial audits (Local GAAP, IFRS, MCEV, Solvency II) as well as consulting projects. Prior to joining PwC David worked in the actuarial department of one of the biggest German health insurers. He is lecturer for the German Actuarial Society (DAV) and the EAA. Being a member of actuarial working groups of DAV, he contributes to the development of the Solvency II standard model approach for the valuation of technical provisions and SCR calculations for German health insurance.

Participant Feedback

of 5 Points

Venue & Accommodation

The seminar will take place at the

Ambiance Rivoli Hotel
Albert-Rosshaupter-Str. 22
81369 Munich, Germany
Phone: +49 89 743 515-0

We have arranged special prices for accommodation. The special rate is 140 € per night including breakfast and VAT. It is valid for bookings by 31 October 2017 out of our allotment "EAA Seminar". Our allotment includes a limited number of rooms. Kindly book your accommodation directly with the hotel, and note the hotel’s cancellation policy.