Browse Research
Viewing 6301 to 6325 of 7690 results
1970
Possibly Mr. Cook’s strongest motivation for writing this paper was the increasingly householdish term “overlap.” Discussions of loss development factors relative to other type factors intended to project for cost or frequency trends often have been colored by concern and confusion, whether there might be overlap between these.
1970
I intend no disparagement whatsoever of the body of Mr. Cook’s paper when I say that one of the most illuminating parts is his introduction. As he points out, there are misconceptions, misunderstandings, and confusions; and I can testify to the fact that at least one actuary accepted the trend - development overlap fallacy. In the face of all this, it is indeed surprising that so little has been written on this subject. Hopefully, Mr.
1970
Charles Cook’s paper on trend and loss development factors is a valuable document for any actuary who finds himself or herself in the position of trying to explain ratemaking techniques and procedures to laymen or non-technicians. He defines clearly and concisely the terms "trend" and "loss development," and these definitions help to distinguish the two concepts.
1970
Mr. Cook’s paper, "Trend and Loss Development Factors," is a welcome addition to the Proceedings. His paper treats many problems associated with trend and loss development factors, but I would like to confine my comments to the overlap question.
1970
During the past year or two it has become apparent that there exist widespread misconceptions about trend and loss development factors. Rather than surface misunderstandings, they appear to result from fundamental confusion between the data base from which the factors are derived and the purpose which they serve.
1970
What does “open competition” really mean? It means what I choose it to mean-neither more nor less. It also means different things to different people. This fact provided the idea for the format of our presentation, i.e., each panelist will discuss what open competition means to him as an insurance department actuary, a bureau and company actuary, a consulting actuary, and a college professor (and consumer) of insurance, respectively.
1970
The two reviewers have between them raised several points and questions that can be valuable in clarifying the paper and some of the thought underlying it. Mr. Hurley’s commentary on the Pareto curve is a very interesting addendum and merits expansion at a later time. His contribution of actual facts is also a positive and helpful addition.
1970
This actuarial note lives up to Mr. Simon’s reputation for pertinent and handy mathematical models. In addition to providing a workable solution for a specific problem, it clearly illustrates the general technique of projection by geometric areas. This is a common method of modeling a variety of small actuarial problems, but one which is easy to mishandle in practice.
1970
The purpose of this actuarial note is to set forth the reasoning and the results involved in a small actuarial problem which occurs from time to time. By establishing a record in our Proceedings it is hoped that other actuaries will not have to go through the process of solving the problem independently each time it arises.
1970
Most credibility formulas in use today measure the credibility of a given number of claims. What is really needed, however, is the
credibility of the pure premium, which depends on claim severity as well as claim frequency.
1969
In the different versions of the "Theory of Risk" it is almost universally assumed that ruin or bankruptcy marks the end of the game. The earlier versions of the theory tried to estimate the probability of this event, and studied the steps which an insurance company could take to bring probability of ruin down to an acceptable level.
1969
Some years ago I discussed optimal reinsurance treaties, without trying to give a precise definition of this term. I suggested that a reinsurance contract could be called "most efficient" if it, for a given net premium, maximized the reduction of the variance in the claim distribution of the ceding company. I proved under fairly restricted conditions that the Stop Loss contract was most efficient in this respect.
1969
Mr. Ferrari has illuminated the relationships among return on equity, return on assets, and return on sales with simple formulas. These simple relationships provide valuable insight and should be helpful to anyone who must make meaningful decisions as to the future course of an insurer, in underwriting commitments, investments, and prices.
1969
Several papers in the Proceedings deal with established ratemaking procedures for various lines of insurance and two such papers discuss in detail the methodology for liability insurance lines. In both papers attention is restricted to ratemaking techniques for basic limits coverage.
1969
The primary purpose of the Balcarek paper is to determine a critical combined loss and expense ratio (which he calculates to be 101.4) above which it becomes more profitable to abandon insurance operations and become solely an investment fund.
1969
Mr. Balcarek has made another contribution to the growing literature on the relationship between investment income and underwriting results. There are many ways of looking at this relationship, and Balcarek’s may prove useful to some actuaries in analyzing the profitability of a company or companies over time.
1969
I greatly appreciate the detailed reviews of my paper. They produced a number of interesting questions, some of which may merit additional discussion.
1969
This review will have two principal parts: (1) A focusing of attention upon the recent general definition of credibility by Buhlmann and (2) A commentary upon the true meaning of 'full credibility' in view of the insight that Buhlmann’s generalization provides.
1969
One of the purposes of constructing a model or theoretical abstract of an actual situation is to be able to see it more clearly. Many ratemakers have recognized practical deficiencies in credibility tables. Rates for low volume lines of insurance (and for low volume territories of major lines) are sometimes increased one year only to be reduced in the next year.
1969
This is a fundamental paper of great significance. Besides the concrete advance it explicitly reports, it also has several substantial implicit qualities. These are easy to miss but they are worthy of specific recognition for the valuable instruction they provide.
1969
Assuming that necessary data could be made available, the only argument against recognition of claim cost variation in credibility calculations seems to be one advanced by Mr. Perryman himself. He noted that the resulting 'great increases in credibility requirements could not very well be made in practice under present day conditions for they would greatly limit
the employment of local data.' Mr.
1969
In their paper, the authors present a distribution-free approach to the problem of evaluating the full credibility standard for a specific block of business, after having briefly reviewed the customary approach.
1969
This fine paper is providing a new stimulus to the thinking of actuaries on the important subject of credibility. A primary purpose of this review is to place additional information before the Society relating to another line of business, namely lire.
