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Modelling attritional claims

Discussion in 'SP7' started by code9063, Mar 28, 2019.

  1. code9063

    code9063 Member

    Hi,

    The core reading says attritional claims should be modelled in aggregate. What do they mean by aggregate?
     
    code9063, Mar 28, 2019
    #1
  2. Ian Senator

    Ian Senator ActEd Tutor Staff Member

    In total. Not individually.
     
    Ian Senator, Mar 29, 2019
    #2
  3. code9063

    code9063 Member

    Large losses are looked at in aggregate as well right? Do we look at freq and sev with attritional loss as well?
     
    code9063, Mar 29, 2019
    #3
  4. Ian Senator

    Ian Senator ActEd Tutor Staff Member

    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.
     
    Ian Senator, Mar 29, 2019
    #4

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