Heo The Demand for Life Insurance

Dynamic Ecological Systemic Theory Using Machine Learning Techniques
1. Auflage 2019
ISBN: 978-3-030-36903-3
Verlag: Springer International Publishing
Format: PDF
Kopierschutz: 1 - PDF Watermark

E-Book, Englisch, 171 Seiten

Reihe: Psychology and Our Planet

This book, adopting machine learning techniques for the financial planning field, explores the demand for life insurance as seen in previous literature and both estimates and predicts the demand for the adoption of life insurance using these techniques. Previous studies used diverse perspectives, like actuarial and life span, in order to understand the demand for life insurance, though these approaches have shown inconsistent findings. Employing two theoretical backgrounds-ecological systemic theory and artificial intellectual methodology-this book explores a better estimation and a prediction of the demand for life insurance and will be of interest to academics and students of insurance, financial planning, and risk management.


Wookjae Heo is an assistant professor of Consumer Affairs at the South Dakota State University, USA. Prior to earning a PhD from the University of Georgia, USA, he had worked for a marketing consulting firm and received a MA Degree in Consumer Sciences from Seoul National University, South Korea. His main research interest is broadly about consumer behavioral intervention, financial stress on consumer behavior, demand of life insurance, and data mining/data analysis in consumer research.

Autoren/Hrsg.

Heo, Wookjae

Inhaltsverzeichnis

1;Preface;5
2;Contents;7
3;List of Figures;9
4;List of Tables;10
5;Chapter 1 Introduction: A Need of New Framework in Financial Planning with the Case of Life Insurance Demand;12
5.1;Abstract;12
5.2;1.1 Introduction and Statement of the Problem;12
5.3;1.2 Purpose and Justification of Study;19
5.3.1;1.2.1 Complexity Among the Determinants of the Demand for Life Insurance;20
5.3.2;1.2.2 Adoption of a Dynamic Nonlinear Systemic Approach;22
5.4;1.3 Research Questions and Hypotheses;23
5.5;1.4 Specific Research Objectives;24
5.6;References;25
6;Chapter 2 Theoretical Background: A New Theoretical Framework for Financial Planning with the Case of Life Insurance Demand—Dynamic Ecological Systemic Framework;29
6.1;Abstract;29
6.2;2.1 Introduction to Conceptual and Theoretical Framework;30
6.2.1;2.1.1 Ecological Framework;30
6.2.2;2.1.2 Transformative Consumer Research;33
6.2.3;2.1.3 Nonlinear Science in Economic Areas;35
6.2.3.1;2.1.3.1 Complexity in the Actual World and Nonlinear Science with Chaotic Dynamics;36
6.2.3.2;2.1.3.2 Adopting Nonlinear Science in Economics;37
6.2.3.3;2.1.3.3 Examples of Adopting Nonlinear Science in Economic-Related Areas;39
6.2.3.4;2.1.3.4 Summary;41
6.2.4;2.1.4 Concept of Dynamic Nonlinear Systemic Framework Concepts;42
6.2.5;2.1.5 Conceptual Artificial Neural Network Model Using the Dynamic Nonlinear Systemic Framework;44
6.2.5.1;2.1.5.1 Artificial Neural Networks: A Primer;45
6.3;2.2 Definitions;48
6.3.1;2.2.1 Life Insurance;48
6.3.2;2.2.2 Dynamic Nonlinearity;49
6.3.3;2.2.3 System;49
6.4;2.3 Assumptions and Limitations;50
6.5;2.4 Summary;51
6.6;References;52
7;Chapter 3 Literature Review: Previous Literature for Understanding Life Insurance and Behavioral Demand for Life Insurance;57
7.1;Abstract;57
7.2;3.1 Historical Context Discussion;58
7.2.1;3.1.1 Understanding Risk, Risk Management, and the Need for Insurance;58
7.2.2;3.1.2 Personal Need for Life Insurance;62
7.2.3;3.1.3 Understanding Life Insurance;63
7.2.4;3.1.4 Understanding Life Insurance Demand: The Actuarial Perspective;65
7.2.5;3.1.5 Understanding Life Insurance Demand: The Lifespan-Related Economics Perspective;67
7.2.6;3.1.6 Understanding Life Insurance Demand: The Behavioral Economics Perspective;70
7.2.7;3.1.7 Summary;72
7.3;References;72
8;Chapter 4 Practical Approach: Practical Approach to Personal Needs of Life Insurance with Dynamic Systemic Framework;75
8.1;Abstract;75
8.2;4.1 Review of Studies and Scholarly Works Related to the Research Proposed for the Analysis;75
8.2.1;4.1.1 Factors Inside the Household-Level System;76
8.2.2;4.1.2 Factors from the Microenvironmental System;80
8.2.3;4.1.3 Factors from the Macroenvironmental System;81
8.3;4.2 Summary and Analysis of the Literature as Applied to the Research Problem;82
8.4;References;84
9;Chapter 5 Empirical Analysis Part 1 Methodology and Data: Empirical Example of Predicting the Demand for Life Insurance by Using the Dynamic Systemic Framework;86
9.1;Abstract;86
9.2;5.1 Brief Overview;86
9.3;5.2 Design of the Study and Methods;88
9.3.1;5.2.1 Description of Data;88
9.3.2;5.2.2 Dependent Variables from the Data;90
9.3.3;5.2.3 Independent Variables from the Data;90
9.3.3.1;5.2.3.1 Individual Characteristics Individual Characteristics in the Household-Level System;90
9.3.3.2;5.2.3.2 Family Characteristics in the Household-Level System;95
9.3.3.3;5.2.3.3 Variables in the Microenvironmental System;99
9.3.3.4;5.2.3.4 Variables in the Macroenvironmental System;102
9.3.4;5.2.4 Data Analysis Procedure;105
9.3.4.1;5.2.4.1 Clustering the Sub-Sample for Better Discovery of a Variable List;105
9.3.4.2;5.2.4.2 Prediction Rate Comparison;105
9.3.4.3;5.2.4.3 Statistics Programs for Analyses;107
9.4;5.3 Summary;107
9.5;References;108
10;Chapter 6 Empirical Analysis Part 2 Result and Findings: Empirical Example of Predicting the Demand for Life Insurance by Using the Dynamic Systemic Framework;109
10.1;Abstract;109
10.2;6.1 Analysis Procedure;109
10.3;6.2 Observations;111
10.4;6.3 Sub-sampling by Cluster Analysis;115
10.5;6.4 Split of Data;117
10.6;6.5 Influential Variables Found by Logistic Estimations Among the Three Clusters;118
10.7;6.6 Probability Prediction Using Logistic Estimations Among the Three Clusters;131
10.8;6.7 Influential Variables Found Using ANN Estimations Among the Three Clusters;133
10.9;6.8 Probability Prediction by Using ANN Estimations Among the Three Clusters;143
10.10;6.9 Influential Variables Comparison Between the Logistic and ANN;145
10.11;6.10 Prediction Rate Comparison Between the Logistic and ANN Methods;150
10.12;6.11 Summary;151
10.13;References;152
11;Chapter 7 Implications and Conclusion: Implications and Conclusion from the Empirical Example of Predicting the Demand for Life Insurance by Using the Dynamic Systemic Framework;153
11.1;Abstract;153
11.2;7.1 Theoretical Implications;153
11.3;7.2 Research Literature Implications;157
11.4;7.3 Methodological Implications;158
11.5;7.4 Implications for Practitioners and Policy Makers;159
11.6;7.5 Conclusion, Limitation, and Further Direction;165
11.7;References;168
12;Index;169