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Old 10-16-2019, 10:10 AM
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ALivelySedative ALivelySedative is offline
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Location: Land of the Pine
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IANA-GLM expert, but:

1) sounds wrong...seems like you should just use '0' and '1+', or judgmentally pick something for 2 and 3 that makes sense despite the thin data if you must have explicit values.

2) my understanding here is that you should be doing separate GLMs for the different perils (how do you define an exposure base if multiple perils are modeled at once?), then combining those GLM results/selections after the fact. I think CAS monograph 5 addresses this to some degree with respect to homeowners in particular. I've also heard detailed conversation at a couple conferences with respect to GLM by-peril rating that implies this as well.

Full disclosure: anyone else's answer here is probably better than mine.
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