The Analysis of Expenses by the Use of Hollerith Cards

A great deal of effort is expended by casualty insurance companies each year in obtaining accurate pure premium data. The necessity of basing rates upon reliable information as to loss cost justifies this expense, heavy though it unquestionably is. Precise statistical plans promulgated by the various rating organizations contain detailed instructions for the coding of premiums, exposure and losses by classifications and territories and the general use of these plans has resulted in the preparation of pure premium data on a uniform basis.