Calculations for the (a,b,0) and (a,b,1) Classes
Free SOA Exam FAM (Fundamentals of Actuarial Mathematics) lesson in Severity, Frequency, and Aggregate Models. 7 min read, ~1,117 words.
Iterate:. At: factor is always. ZT starting value:. Same recursion factors from onward. ZM starting value:. Variance-to-mean ratio:. Poisson = 1, binomial < 1, NB 1. Mean: for Poisson and NB.
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- Content
- Example 1
- Example 2
- Common Mistakes
- Key Takeaways
- Exam Shortcuts
Learning objectives
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