In this chapter those mathematical tools are put together which are needed for the solution of the problems described above. Also, most of the basic notations used throughout the book will be introduced here. In the following, an attempt has been made to organise the main tools into six different domains which may be viewed as selected parts from general probability theory. Prerequisites are college mathematics only, more precisely elements of calculus and probability.
KeywordsNegative Binomial Distribution Risk Process Claim Amount Distribution Versus Total Claim
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