Wednesday Night (Section 1) Finance 3440 Spring Semester, 2012 E-Mail: jcboyd@lsu.edu Instructor: Dr.

James Boyd Office: 2167 CEBA (By Appointment) Date Topic Reading Assignment Jan 18 25 Feb 1 8 15 22 29 Mar 7 14 21 28 Apr 4 11 18 25 May 2 9 Course Overview/Introduction Risk Management and Noninsurance Methods Insurance Industry Overview Insurance Regulation and Law Property/Liability Insurance (Automobile) Manzana Case Study
Property/Liability Insurance (Home); Exam Preview None Notes Only Notes Only Notes Only Ch. 22-23; Appendix B Manzana Case (p. 203) Ch. 20-21; Appendix A

MID-SEMESTER EXAM Exam Return/Review Progressive Corporation Case Study Life Insurance Health Insurance SPRING BREAK Retirement & Estate Planning Provident Life Case Study; Final Exam Preview Schedule Slack/Guest Speaker FINAL EXAM

Progr. Case (p.239) Ch. 11 Notes Only Ch. 17 Prov. Case (p. 217)

(Note: the above schedule is subject to change by announcement in class or by Moodle Online. Bold and italicized print above under Reading Assignment refers to chapters, cases, or appendices in the textbook.)

Course Objectives/Prerequisites: Finance 3440 is an introductory insurance course. The primary objectives of the course are: to define and discuss risk management techniques; to understand the role of insurance within the risk management framework; to explore the fundamental principles and applications of common insurance products; and to review the basic structure and operations of the insurance industry. Prerequisites: FIN 3201 (Business Law). Required Materials: Required text: FIN 3440: RISK MANAGEMENT AND INSURANCE, JAMES BOYD, LOUISIANA STATE UNIVERSITY-BATON ROUGE (Different colored paperback texts, some from prior semesters, are available in the bookstore; any of these are acceptablethey are the same textbook.) Class Process Beginning of Class: I post your lecture notes, and other assigned reading on the Moodle Website prior to the next class. Download, read, and bring your note set to class. The purpose of these note sets are to: a) to emphasize and delimit important sections of assigned textbook readings, if any; b) to enable students to actively listen to the lecture, rather than be distracted by the process

of writing notes; and c) to add elements to the subject matter not found in other assigned readings. Lecture: As the instructor discusses the lecture notes, important/useful references to assigned textbook readings are emphasized, concepts/problems are clarified via handouts or overhead examples, and new information may be given to extend/enrich the lecture note set. During the lecture, the instructor often poses questions at large to the class to prompt student involvement and to assess comprehension of lecture material. Likewise, students may ask questions during the lecture to resolve uncertainties. Help Sessions (Optional for Students): Lectures are scheduled to allow ample time after every class to meet with individual students who need assistance. Over the many years of teaching this course I have found this to be a more timely and effective method of assisting students who really wish to improve their grade than meeting during regular office hours. Therefore if you wish to schedule an appointment with me outside of normal class hours, please advise me by email or during class why we need to have a separate meeting. Exam Previews and Preparation: During the class prior to a scheduled exam date, an exam preview session will be held. The focal point of the session will be a one-page typed preview sheet, which provides useful information about the exam such as the scope of chapter/topic coverage, the proportionate grading weight of each topic, and the number/type of questions. This one-page review sheet will also be posted on the Moodle website The principal source of information used to develop each exam is the lecture note set posted on Moodle, which also includes important references to your textbook. A secondary source of information is the lecture itself, which may include exam information not cited in the lecture note set or textbook. Therefore, the lecture note set and the lecture itself should be the focal points for exam preparation, supplemented by textbook review and help session attendance, as appropriate. Course Grade Determination Exam Component: The midsemester and final exams will count 50 points each, with a possible total of 100 points for both exams. Grade categories for the exam component of the final course grade will be initially established on a university scale of: 90 to 100, A; 80 to 89, B; 70 to 79, C; 60 to 69, D; and less than 60, F, before adjusting this grade for the case study component discussed below. (Note: the midsemeter course grade will only reflect the first exam point score and grade, not the case study adjustment cited below). Case Study Adjustment to Exam Grade The total exam points accumulated at the end of the semester will be further adjusted by the case study component as follows. Three categories of class participation grades will be assessed by the instructor for the three Harvard cases, based primarily upon the relevance, clarity, and quality of student participation during class discussion: average, exceptional, and poor. Average or exceptional ratings only apply if a student participates in all three case studies, which include both team and individual open class discussions. An unexcused absence for any case study is a sufficient criterion for a student to receive a poor rating for that case. Adjustments for each of the three categories of class participation assessed by the instructor to the total exam points and to the corresponding university grade scale are as follows: Average class participation will result in no adjustment to the cumulative exam grade as the final course grade; exceptional class participation for all three cases may improve the cumulative

exam grade if it is close to the next higher grade on the university scale; and poor class participation WILL reduce the cumulative exam grade points in assessing the final course grade as follows: one poor rating from case study participation will result in a 5% reduction from the cumulative exam grade score; two, a 10% reduction from the cumulative exam score; and three, a 15% reduction from the cumulative exam score. Students who believe they have an excused absence for a missed case study discussion are responsible for providing the instructor with appropriate documentation to support the claim. Otherwise, the absence will be considered unexcused and assigned a poor rating as explained above. An excused absence for a case study discussion can be made up by a research essay on an insurance topic mutually agreed upon by instructor and student, (See discussion below under Class Attendance or PS-22 for acceptable excused absences), but all makeup essays for the semester must be turned in no later than the last class meeting before the final exam. Students who attend a case discussion after roll has been taken are responsible for advising the instructor immediately after class in person (not by email) of their late arrival. If a student is late to a case discussion twice during the semester, a 5% deduction, or the equivalent of one poor rating for a case study, will be deducted from the cumulative exam grade score. Finally, if a guest speaker date is announced in class or on Moodle, attendance is required for that date and an unexcused absence for it will have the same effect (cumulative grade reduction) as an unexcused absence for a case study as discussed above. Therefore the announced date of a guest speaker this semester (on Moodle and in class) is required attendance. Example grade assessments: Assume that the final grade scale is the university curve cited above, and that a student has a total of 90 exam points. If the student had average class participation for the case studies, he/she would have 90 - 0 = 90 points or a low A for the final course grade; and if the same student had poor class participation via two unexcused absences for the case studies, he/she would have 90 - 10 = 80 points or a low B for the final course grade. Final Course Grade: Final course grade assignments may be more generous than the university scale system cited above if the instructor decides: a) that a more liberal final course grade curve is justified, or b) that individual student contributions to class enrichment during the semester as a whole are exceptional (lecture topics, current events, student work experience or other areas relating to insurance) and deserve consideration for a higher course grade, particularly if their unadjusted final course grade is close to the next highest grade bracket. Class Attendance: Attendance is a student responsibility, unless excused under PS-22 (available on LSU Web). Acceptable excuses include documented sickness, death in the immediate family, or participation in university sanctioned activities. Make reciprocal relationships with a fellow classmate early in the semester to get lecture notes or in-class announcements from one another in the event of absence. Makeup Exams: To avoid being assigned a grade of zero for a missed midterm exam (or final exam), students must: 1) advise the instructor of an expected absence by email before the exam date; and 2) provide documentation within a week after the exam to support an excused absence based upon an acceptable excuse cited in the LSU attendance policy (PS-22). If a student absence is excused for the midterm exam, a cumulative final exam, rather than a separate makeup exam, will be given on the scheduled final exam date and serve as the full exam component of the final course grade. If a student absence is excused for the final exam, the student and instructor will mutually agree upon a final exam makeup date as appropriate.

Academic Dishonesty Any incident of academic dishonesty such as cheating on tests, facilitating cheating or other similar acts will be forwarded to the Office of Judicial Affairs for adjudication. If you are in doubt about what constitutes academic dishonesty, please refer to LSU policy or consult with your instructor. Special Needs Students who need accommodations because of special needs addressed in the Americans with Disabilities Act (ADA) or have emergency medical information to share with the instructor, or need special arrangements in case of emergency building evacuation should inform the instructor of such need immediately. Please see me privately after class or in my office. Class Updates and Notifications: All students registered in this course are responsible for checking the LSU Moodle Online website for this course prior to class for important notifications and for any necessary clarifications of course policy as outlined in this syllabus. Academic Civility Statement Meaningful and constructive dialogue is encouraged in this class and requires a degree of mutual respect, willingness to listen, and tolerance of opposing points of view. Respect for individual differences and alternative viewpoints will be maintained at all times in this class. Ones words and use of language should be temperate and within acceptable bounds of civility and decency. Since every student is entitled to full participation in class without interruption, all students are expected to come to class prepared and on time, and remain for the full class period. All pagers, wireless phones, games, players or other electronic devices that generate sound and/or pictures must be turned off during class. Disruptive behavior that interferes with the learning environment in this class will not be tolerated. An occurrence of disruptive behavior will result in a meeting with the instructor after class to discuss the issue. A recurrence of disruptive behavior by a student will lead to referral to the Dean of Students for possible disciplinary action before readmission to class.

Note: The final exam on May 9 will be in this room from 8-10PM.