Werner Appendix A - Premium Trend Error?

[Matalino_Ako]

Hi,

I am going through P A-13 Premium Trend -3

For the trend period it says 06/30/2015 - 06/30/2017. I think that the trend from date is incorrect.

In two step trending it the latest period WP being used is 2015Q4. The average written date in this period is 11/15/15 (Nov 15, 2015).
Thus the trend period should be 11/15/2015 - 06/30/2017.

Is this correct or am I doing something wrong?

[actuarialista]

Hi,

I am going through P A-13 Premium Trend -3

For the trend period it says 06/30/2015 - 06/30/2017. I think that the trend from date is incorrect.

In two step trending it the latest period WP being used is 2015Q4. The average written date in this period is 11/15/15 (Nov 15, 2015).
Thus the trend period should be 11/15/2015 - 06/30/2017.

Is this correct or am I doing something wrong?

There is no mistake. The key is that the WP's given are not quarterly averages. They are rolling 12-month averages ending at the quarter. See the "Premium Trend Exhibit" section of the descriptive text at the start of the exhibit.

[Vorian Atreides]

Agree with actuarialista . . .

Very important to keep in mind what "range of data" is used and not how the data is presented.

[Matalino_Ako]

Thanks for the clarification