This article is cited in 1 paper

Applied mathematics

Examining the possibility of insurance contract conclusion based on utility function

A. V. Sachkov

St. Petersburg State University, 7–9, Universitetskaya nab., St. Petersburg, 199034, Russian Federation

Abstract: The problem of a potential insurance contract conclusion is considered taking into account client's money utility function. A basic model is employed for practical calculations and a formula is proposed and tried for two utility functions corresponding to polar income decile groups. Conclusions are made with suggested future research directons.

Keywords: insurance, utility, risk.

UDC: 51-75

MSC: 97M30

Received: May 30, 2023
Accepted: June 8, 2023

DOI: 10.21638/11701/spbu10.2023.305