Document Type : Research Article


1 Insurance research center, Tehran, Iran

2 Department of Economic, Faculty of Social and Economics, Alzahra University, Tehran, ‎Iran‎.


‎In this article, fuzzy random variables are used to model interest rate uncertainty used in the calculation of whole life insurance premiums, and calculate the effect of this uncertainty on the price of life settlements. The fuzzy results obtained from deterministic and probabilistic pricing approaches have been compared with the results of the stochastic approach. Also, the results have been analyzed for Iran life table, which has been issued to insurance companies since 1400, and for France life table, which was previously used by insurance companies. In addition, since ‎5-year survival probability for each cancers in Iran was lower than in the United States, the probability adjustment coefficient for Iran was higher than that of the United States. In addition, the interval obtained for the fuzzy probability price and the stochastic price for both Iran and France life tables are close to each other. But in most cases, the fuzzy price obtained based on the deterministic approach has a significant distance from the stochastic and fuzzy probability approaches. Also, the findings of the research indicate that the price calculated using the fuzzy deterministic approach for Iran life table is higher than France life table. While the results for fuzzy probabilistic approach and stochastic approach are completely opposite. In the other words, the price calculated for the Iran life table is lower than the France life table. This difference comes from the fact that the adjustment coefficients for ‎these‎ life tables are calculated for each person separately from ‎related‎ life tables.


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