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Approximates the reserve at time \(t\) from a known reserve at time \(t+h\).

Usage

thiele_backward_step(V_next, P, delta, mu, benefit = 1, h = 1)

Arguments

V_next

Reserve at time t+h.

P

Premium rate.

delta

Force of interest.

mu

Force of mortality at time t.

benefit

Benefit amount. Defaults to 1.

h

Step size.

Value

Numeric vector.

Examples

thiele_backward_step(V_next = 1000, P = 26.96, delta = 0.058, mu = 0.002, benefit = 1000, h = 1)
#> [1] 919.8491