Univariate Method - Loss Ratio Method

samedi 11 avril 2015

I've spent FAR too long trying to figure this out.



How do the indicated relativities of the Loss Ratio Method have the same overall weighted average as the current relativities???? How do you calculate the weights ??? I am not getting the same overall weighted avg as the current relativities when i try to calculate it for the indicated relativities (the relativities wrt the total ratio, not the base ratio).



Do the weights consist of losses or premium associated with the relativity or what





Univariate Method - Loss Ratio Method

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