Hi, The core reading says attritional claims should be modelled in aggregate. What do they mean by aggregate?
Large losses are looked at in aggregate as well right? Do we look at freq and sev with attritional loss as well?
All depends on what you're doing the modelling for. Generally, large losses have very different characteristics from attritional claims, and so would normally be modelled separately on a case-by-case basis. Frequency/Severity approaches can used for attritional losses, yes, again depending on the purpose of the exercise.
