Unit link insurance contains investments where the value varies according to the value of the investment asset. This can be overcome by limiting the minimum (floor) and maximum (cap) benefit that the insured will get. This research was conducted to calculate single net premium of unit link whole life insurance by limiting the benefits that will be accepted by insured. The method used is the Compound Ratchet method. Data used in this research is stock closing prices for case study at PT Astra Internasional Tbk. in 2016. Based on the research result, obtained the amount of premium that must be paid by prospective policy holders in four different cases of floor and cap values. The higher of the top value and the floor value, the higher of the premium value to be paid.
Unit Link Single Life Premium Calculation for Unit Link Lifetime Insurance Using the Ratchet Compound Method
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