April 2010: Q9 b

Discussion in 'SP8' started by jensen, Aug 4, 2012.

  1. jensen

    jensen Member

    Hi

    When calculating the credibility factor (z = square root {n/F}), isn't n the observed number of claims, i.e. 109? The solution used expected which is 120.

    Thanks.
     
  2. Katherine Young

    Katherine Young ActEd Tutor Staff Member

    Hi Jensen,

    Have a look at the Chapter Summary for Chapter 18. You'll see that on page 57 we state that n is the expected number of claims.

    Kind regards,

    Katherine.
     

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