Estimating Outstanding Claims
Free SOA Exam FAM (Fundamentals of Actuarial Mathematics) lesson in Pricing and Reserving for Short-Term Insurance Coverages. 9 min read, ~1,346 words.
Reserve = ultimate losses - paid losses; IBNR = ultimate - incurred. ELR: Ultimate = ELR EP. Ignores actual data. Chain-Ladder: Ultimate =. Fully data-driven. BF: Ultimate =. Blends both. Percent developed =; percent unreported =.
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What this lesson covers
- Content
- Example 1
- Example 2
- Common Mistakes
- Key Takeaways
- Exam Shortcuts
Learning objectives
- 5a
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