Estimating the adequacy of life insurance reserves

Abstract

This project created a tool that will allow John Hancock to test how adequate their reserves are for a given life insurance policy under varying interest rates and mortality assumptions for each individual. Policies were tested and analyzed to estimate the parameters that would make them adequate. John Hancock was presented with this tool that returns adequacy results across different interest rate scenarios and morality distributions, where an adequate policy implies that it is funded sufficiently to cover expenses