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April 2007: Q4

J

jensen

Member
Hi

Do we need to inflate the claim costs by a further 8/12 (since the claims are at October each year) to bring it to mid 2008? (Assuming claims happen mid way thru the year?

How fussy are the examiners with the period to which inflation adjustments apply?

Thanks!
 
Not completely sure I follow you, but...

The data is as at October and the development months start at 10, 22, etc, so there's no problem there.

Notice that the question says 'estimate', so in practice a wide range of approaches was allowable as long as you stated your (suitable) assumptions.
 
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