Quantum Computing in Insurance Capital Modelling

Muhsin Tamturk ()
Additional contact information
Muhsin Tamturk: Department of Mathematics, University of Leicester, Leicester LE1 7RH, UK

Mathematics, 2023, vol. 11, issue 3, 1-13

Abstract: This paper proposes a quantum computing approach for insurance capital modelling. Using an open-source software development kit, Qiskit, an algorithm for working on a superconducting type IBM quantum computer is developed and implemented to predict the capital of insurance companies in the classical surplus process. With the fundamental properties of quantum mechanics, Dirac notation and Feynman’s path calculation are shown. Furthermore, custom quantum insurance premium and claim gates are investigated in order to build a quantum circuit with respect to initial reserve, premium and claim amounts. Some numerical results are presented and discussed at the end of the paper.

Keywords: insurance; quantum computing; risk theory; Qiskit; capital modelling (search for similar items in EconPapers)
JEL-codes: C (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/2227-7390/11/3/658/pdf (application/pdf)
https://www.mdpi.com/2227-7390/11/3/658/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jmathe:v:11:y:2023:i:3:p:658-:d:1049124

Access Statistics for this article

Mathematics is currently edited by Ms. Emma He

More articles in Mathematics from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().