Wang, Shanshan; Zhang, Chunsheng On a constant interest risk model with debit interest and tax payments. (English) Zbl 1313.91084 Acta Sci. Nat. Univ. Nankaiensis 46, No. 6, 93-100 (2013). Summary: A constant interest risk model with debit interest and tax payments according to a loss-carried-forward system is investigated. Whenever the surplus is in a portfolio situation, the insurer may pay a certain proportion of the premium and the interest income as tax payments. Whenever the surplus is nonnegative, the insurer will earn interest with force \(r>0\). Whenever the surplus is below zero, the insurer could borrow money at a debit interest rate \(\delta>0\) to pay claims. An explicit expression for the expected discounted tax payments until absolute ruin is derived. MSC: 91B30 Risk theory, insurance (MSC2010) 62P05 Applications of statistics to actuarial sciences and financial mathematics Keywords:compound Poisson process; constant interest force; debit interest; absolute ruin; expected discounted tax payments PDFBibTeX XMLCite \textit{S. Wang} and \textit{C. Zhang}, Acta Sci. Nat. Univ. Nankaiensis 46, No. 6, 93--100 (2013; Zbl 1313.91084)