Examinator

03-16-2005, 12:24 PM

I hate this article.

Given that, I have a question on one of the past exam problems from this text. 2001 #13. It asks you to calculate the AELR given some information. The All 10 calculates it as expected basic limits loss and ALAE multiplied by the D-ratio, divided by the subject premium. Easy enough. The CSM calculates it the same way, except it applies the off-balance factor that's given in the problem. First of all, what is this off-balance factor, and should it be used?

Also, my previous Tiller/Feldblum question remains concerning the definition of standard premium. http://www.actuarialoutpost.com/actuarial_discussion_forum/showthread.php?t=49670 Thanks.

Given that, I have a question on one of the past exam problems from this text. 2001 #13. It asks you to calculate the AELR given some information. The All 10 calculates it as expected basic limits loss and ALAE multiplied by the D-ratio, divided by the subject premium. Easy enough. The CSM calculates it the same way, except it applies the off-balance factor that's given in the problem. First of all, what is this off-balance factor, and should it be used?

Also, my previous Tiller/Feldblum question remains concerning the definition of standard premium. http://www.actuarialoutpost.com/actuarial_discussion_forum/showthread.php?t=49670 Thanks.