Research Article
Year 2014,
Volume: 43 Issue: 6
,
1047
-
1061
,
01.12.2014
Abstract
Assuming a bivariate prior distribution for the two risk parameters
appearing in the distribution of the total claim amount when the primary distribution is geometric and the secondary one is exponential, we
derive Bayesian premiums which can be written as credibility formulas. These expressions can be used to compute bonus-malus premiums
based on the distribution of the total claim amount but not for the
claims which produce the amounts. The methodology proposed is easy
to perform, and the maximum likelihood method is used to compute
the bonus-malus premiums for a real set of automobile insurance data,
one that is well known in actuarial literature
appearing in the distribution of the total claim amount when the primary distribution is geometric and the secondary one is exponential, we
derive Bayesian premiums which can be written as credibility formulas. These expressions can be used to compute bonus-malus premiums
based on the distribution of the total claim amount but not for the
claims which produce the amounts. The methodology proposed is easy
to perform, and the maximum likelihood method is used to compute
the bonus-malus premiums for a real set of automobile insurance data,
one that is well known in actuarial literature
References
- . . .
There are 1 citations in total.
Details
| Primary Language | English |
|---|---|
| Journal Section | Research Article |
| Authors | |
| Publication Date | December 1, 2014 |
| IZ | https://izlik.org/JA69PJ76WC |
| Published in Issue | Year 2014 Volume: 43 Issue: 6 |