Identify the core assumption behind common unpaid claim estimation methods.
Sort each clue into the reserving method family it most directly affects. Paid development Reported development BF / expected loss Claim review Payment speed changed after a new fast-track settlement program. Salvage recoveries are now posted two quarters earlier than before. Case reserve adequacy strengthened after a claims department audit. Reported claim counts emerge much faster than paid dollars for the newest year. The latest accident year is only three months mature and has one shock loss. A credible pricing loss ratio exists for a new but thin segment. Five open litigated claims account for 40% of case reserves. Severity…
Sign up free — one personalized lesson every day, matched to your role and goals.
Already have an account? Sign in