Browse Research
Viewing 4876 to 4900 of 7695 results
1992
Insurance failures are associated with swings in the underwriting cycle: insolvencies are particularly high following the troughs of the cycle. Common interpretations of the cycle, which ascribe profit fluctuations to rate making techniques, underwriting optimism or pessimism, and interest rate volatility, view failures simply as by-products of poor earnings.
This paper examines the competitive forces that drive the cycle.
1992
Reserving for unallocated loss adjustment expenses often receives little attention, in spite of the fact that the liabilities associated with ULAE can be material. This session features several techniques for estimating the required ULAE reserve. The material presented includes discussion of specific adjustments in methodology for particular circumstances and comparative evaluation of the assumptions underlying each technique.
1992
This paper deals with the Bonus-Malus system obtained when the claims frequency is submitted to trend. This system is specified in the two particular cases of Poisson-Gamma and Poisson-Inverse Gaussian distributions The theoretical results are checked on data issued from automobile insurance policies observed during three years.
1992
This paper develops regression models that can be used to test for the effects of changes in reserving practices. The models include terms for exposure, trend, and loss development. A loss triangle of reported losses at annual valuation dates is used to estimate the parameters of the regression models.
1992
P&C Insurance companies hold more fixed interest securities than are necessary to offset the stated liabilities. Furthermore, the cash flows of these assets are biased towards longer durations.
If the fixed interest assets could be segregated into those assets intended to offset the liabilities, and other assets, interesting observations can be made concerning the investment strategy.
1992
In this paper we explore the concept of surplus allocation and demonstrate that it is an insurance oxymoron, a contradiction in terms. After the issue is defined, it is viewed and explored from four different points of view: technical, regulatory, investor- owner, and insurer management. In the course of this process, the fallacy of surplus allocation is demonstrated generally.
1992
Insurance is perhaps the industry most intensely scrutinized from a financial perspective, with an abundance of financial data prepared to satisfy the many and varied regulatory requirements imposed upon it.
1992
The author treats interest as a stochastic variable in estimating the present value of a string of payments rather than the deterministic model actuaries often use. The model he uses has sufficient flexibility to include parameter uncertainty. Thus in this model when the estimate of present value is made is also relevant to the value of that estimate.
1992
The purpose of this note is to point out the connections between the Marginal Surplus and Competitive Market Equilibrium approaches to calculating risk loads and to show that these methods incorporate and unify several other conceptual approaches to risk loading.
Keywords: Profit Factor, Rate of Return, Risk
1992
A recent feature of the Canadian insurance environment is increasing government reliance on private sector actuarial reporting to assist in the regulation of insurance companies. One new requirement is a report by an Appointed Actuary on the company's expected future financial position.
1992
Actuaries may use various simulation and risk theoretic techniques to assess the variability in loss reserves. However, non-actuaries are often involved in the selection of the reserve liability "point estimate", but they may not have as firm an understanding of the level of uncertainty implicit in the book of business.
1992
Several states have various requirements to provide funds for claimants and injured workers in the case of a self-insured entity’s bankruptcy. Typically, the state requires self-insurers to post surety bonds or other collateral with the state in order to minimize the burden on society in the case of a bankruptcy.
1992
This paper examines asset pricing models using NOT seasonally adjusted aggregate consumption data.
1992
Excess claims lead to an unsatisfactory behavior of standard linear credibility estimators. We suggest in this paper to use robust methods in order to obtain better estimators. Our first proposal is the linear credibility estimator with the claims replaced by a robust M-estimator of scale calculated from the claims. This corresponds to a truncation of the claims with a truncation point depending on the data and different for each contract.
1992
Begun as one of the five main components of the NAIC Solvency Policing Agenda for 1990, significant progress has been made in developing Risk-Based Capital requirements for property-casualty insurance companies.
1992
The paper, a sequel to Taylor (1992), discusses risk exchange (REX) and reinsurance. A REX is global if its recoveries depend on just aggregate claims of the insurer in question; local if it depends on individual claims.
1992
The paper unifies certain concepts which have arisen within the field of risk exchange. Borch’s theorem on Pareto-optimal risk exchanges is shown to be derivable from a Bowley solution when there are only two participants in the risk exchange. This theorem is then extended to an n-party risk exchange by equating this to a sequence of 2-party exchanges between the n participants.
1992
Due to current forces acting on workers compensation, the practitioner faces a considerable challenge when attempting to predict future workers compensation loss development from historical data. The panel will illustrate this difficulty by exploring several aspects of variability in workers compensation results between insurers, and by discussing evidence relating to the level of reserve adequacy in the industry.
1992
Many reinsurance contracts have adjustable premium and loss limiting features which complicate the reserving process. This session addresses such features as swing rating, loss ratio caps, profit commissions, aggregate deductibles, and pre-set commutation terms. While included in many traditional reinsurance contracts, these special provisions are also used in financial reinsurance.
1992
The presentation will concentrate on loss reserving techniques which apply the Kalman filter to regression models of the claims process. An effort is made to model each of the major aspects of the claims process: movement of case reserves, settlement of claims, and their payment. Superimposed inflation is considered.
1992
This paper develops a conceptual framework for a risk-based capital requirement for property-casualty insurance companies. It has been written to assist the National Association of Insurance Commissioners (NAIC) as they work on developing appropriate risk measurements in the context of a series of initiatives designed to improve solvency regulation.
1992
This paper incorporates financial theory with insurance pricing. A general procedure to price for credit exposure has been developed and extended to several insurance products. For retrospectively rated insureds with a below-investment-grade rating from a credit rating agency, the credit exposure is significant to the insurer.
