More on Berquist-Sherman

Gardner, Brad ( (no email) )
Wed, 5 Aug 1998 13:59:33 -0600

Sorry to beat a dead horse but on page 135. paragraph 3 of the B-S
paper, they are applying a variety of reserving methods to certain data.
The data is in the form paid losses per ultimate reported claims. This
ratio does not make sense. We are comparing paid losses to closed, open
and IBNR claims? Paid losses per closed claims make sense to me
(Wiser-average paid per closed claim). What am I missing???

Thanks

Brad P. Gardner