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I think it has to do with the fact that one policy period spans 2 calendar
years (or 2 accident years). If new rates are effective 1/1/98 to 12/31/98,
the last policy that can be written under those rates is a 12/31/98 to
12/30/99. Therefore you're looking at a period 1/1/98 through 12/30/99.
The midpoint of that is 1/1/99.
> -----Original Message-----
> From: Kathryn Herzog [SMTP:busdriver@pop.ne.mediaone.net]
> Sent: Thursday, February 04, 1999 12:13 PM
> To: studygroup6@lists.casact.org
> Subject: Brockmeier Trend Period
>
> Is anyone out there confused by why Brockmeier trends premiums to one
> year beyond the effective date of the new rates and not to the midpoint
> of the period when the new rates are to be in effect?
>
> I am.
>
> -Kathryn
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I think it has to do =with the fact that one policy period spans 2 calendar years (or 2 =accident years). If new rates are effective 1/1/98 to 12/31/98, =the last policy that can be written under those rates is a 12/31/98 to =12/30/99. Therefore you're looking at a period 1/1/98 through =12/30/99. The midpoint of that is 1/1/99.
-----Original Message-----
From: Kathryn Herzog =[SMTP:busdriver@pop.ne.mediaone.net]
Sent: Thursday, February 04, 1999 12:13 PM
To: studygroup6@lists.casact.org
Subject: = Brockmeier Trend Period
Is anyone out there =confused by why Brockmeier trends premiums to one
year beyond the =effective date of the new rates and not to the midpoint
of the period when =the new rates are to be in effect?
I am.
-Kathryn