A
ALEX_AK
Member
Hi,
I understand that Type2 Negative Binomial gives X as the number of failure before the kth success. How can this distribution be used to model no. of claims? From the solution, k is given as 1.8569. What is the relationship between k and the number of claims in a policy?
I understand that Type2 Negative Binomial gives X as the number of failure before the kth success. How can this distribution be used to model no. of claims? From the solution, k is given as 1.8569. What is the relationship between k and the number of claims in a policy?