Abstract
The paper examines differences in premium risk factors (PRFs) by type of company, i.e., reinsurers, personal lines, medical malpractice, etc.
Using the calibration approach developed in the CAS Dependencies and Calibration Working Party (DCWP) Report 6, we find that there is a close connection between the differences in PRFs by Type of Company and the “minor line effect” described in DCWP Report 6.
We also find that, even after adjusting for the minor line effect, many types of specialist companies indicate lower PRFs than non-specialists.
This is one of several papers being issued by the Risk-Based Capital (RBC) Dependencies and Calibration.
Keywords: Risk-Based Capital, Capital Requirements, Analyzing/Quantifying Risks, Assess/Prioritizing Risks, Integrating Risks
Volume
Spring, Vol. 1
Page
1-47
Year
2014
Categories
Actuarial Applications and Methodologies
Enterprise Risk Management
Processes
Analyzing/Quantifying Risks
Actuarial Applications and Methodologies
Enterprise Risk Management
Processes
Assessing/Prioritizing Risks
Actuarial Applications and Methodologies
Enterprise Risk Management
Processes
Integrating Risks
Actuarial Applications and Methodologies
Capital Management
Capital Allocation
Actuarial Applications and Methodologies
Capital Management
Capital Requirements
Publications
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