Actuarial Outpost
 
Go Back   Actuarial Outpost > Actuarial Discussion Forum > Property - Casualty / General Insurance
FlashChat Actuarial Discussion Preliminary Exams CAS/SOA Exams Cyberchat Around the World Suggestions

Salary Surveys
Property & Casualty, Life, Health & Pension

Health Actuary Jobs
Insurance & Consulting jobs for Students, Associates & Fellows

Actuarial Recruitment
Visit DW Simpson's website for more info.
www.dwsimpson.com/about

Casualty Jobs
Property & Casualty jobs for Students, Associates & Fellows


Reply
 
Thread Tools Search this Thread Display Modes
  #1  
Old 08-22-2017, 08:38 AM
Matty Matty is offline
Member
CAS
 
Join Date: Oct 2003
Location: Toronto
Favorite beer: Sleeman Cream Ale
Posts: 2,409
Default Interstate differences in trucking liability exposures

Hi all,

I'm working on a pricing analysis for trucks that are based in Canada and travel to the US. Trying to get some kind of a measure of the relative liability exposure (frequency + severity) in each state. I've been doing some reading and it seems like various states have different degrees of no-fault systems, plus I've heard anecdotally that some states tend to be more plaintiff-favorable than others. My internal claims data is nowhere near credible. My ultimate goal is to derive a differential for, say, an Ontario-based vehicle driven 10,000 miles in New York State vs an Ontario-based vehicle driven 10,000 miles in Michigan. Can any of my American friends point me in the right direction?

Thanks!
Reply With Quote
  #2  
Old 08-22-2017, 09:40 AM
Harbinger Harbinger is offline
Notes Contributor
CAS
 
Join Date: Feb 2005
Posts: 2,346
Default

Insurance Services Office: pay up!!!
__________________
har·bin·ger (här'bin-jer): One that indicates or foreshadows what is to come; a forerunner.
Reply With Quote
  #3  
Old 08-22-2017, 09:46 AM
Matty Matty is offline
Member
CAS
 
Join Date: Oct 2003
Location: Toronto
Favorite beer: Sleeman Cream Ale
Posts: 2,409
Default

Quote:
Originally Posted by Harbinger View Post
Insurance Services Office: pay up!!!
Thanks - we've worked with ISO/Verisk for property but not for auto. Which specific report/exhibit would have what I'm looking for?
Reply With Quote
  #4  
Old 08-22-2017, 09:48 AM
Hardest Road Hardest Road is offline
Member
 
Join Date: Jun 2017
Posts: 1,128
Default

ISO is probably your best bet
Reply With Quote
  #5  
Old 08-22-2017, 11:03 AM
Vorian Atreides's Avatar
Vorian Atreides Vorian Atreides is offline
Wiki/Note Contributor
CAS
 
Join Date: Apr 2005
Location: Hitler's Secret Bunker
Studying for ACAS
College: Hard Knocks
Favorite beer: Sam Adams Cherry Wheat
Posts: 61,822
Default

In addition to ISO (to get the data requested), I would also suggest getting some information from NAIC (at naic.org) to get some insights on liability laws in different states.

Without that additional (qualitative) information, you might find it difficult to interpret "differences in states' experiences). To illustrate, Michigan has unlimited benefits for their PIP ("no-fault") coverage.

And not every state has PIP coverage; and in the US, the liability laws of the state govern how an accident is adjusted. For example, Illinois does not have PIP coverage, but an IL driver getting into an accident in MI will have PIP coverage. I'm pretty sure that this aspect of accident coverage will also apply to international drivers.

The upside of the NAIC info is that it is generally free or fairly low cost to get the information.
__________________
I find your lack of faith disturbing

Why should I worry about dying? It’s not going to happen in my lifetime!


Freedom of speech is not a license to discourtesy

#BLACKMATTERLIVES
Reply With Quote
  #6  
Old 08-22-2017, 11:30 AM
Matty Matty is offline
Member
CAS
 
Join Date: Oct 2003
Location: Toronto
Favorite beer: Sleeman Cream Ale
Posts: 2,409
Default

Quote:
Originally Posted by Vorian Atreides View Post
In addition to ISO (to get the data requested), I would also suggest getting some information from NAIC (at naic.org) to get some insights on liability laws in different states.

Without that additional (qualitative) information, you might find it difficult to interpret "differences in states' experiences). To illustrate, Michigan has unlimited benefits for their PIP ("no-fault") coverage.

And not every state has PIP coverage; and in the US, the liability laws of the state govern how an accident is adjusted. For example, Illinois does not have PIP coverage, but an IL driver getting into an accident in MI will have PIP coverage. I'm pretty sure that this aspect of accident coverage will also apply to international drivers.

The upside of the NAIC info is that it is generally free or fairly low cost to get the information.
Thanks...yes, I have qualitative info on the differences from state to state, but it's not detailed enough for me (with no experience in US auto insurance) to translate into loss cost conclusions. Maybe I need to hire a consultant who's familiar with this stuff. Your insights on what coverage would be available for which drivers in which states are exactly what I'm trying to get at. Thanks for the response.
Reply With Quote
  #7  
Old 08-22-2017, 11:37 AM
Vorian Atreides's Avatar
Vorian Atreides Vorian Atreides is offline
Wiki/Note Contributor
CAS
 
Join Date: Apr 2005
Location: Hitler's Secret Bunker
Studying for ACAS
College: Hard Knocks
Favorite beer: Sam Adams Cherry Wheat
Posts: 61,822
Default

Quote:
Originally Posted by Matty View Post
Thanks...yes, I have qualitative info on the differences from state to state, but it's not detailed enough for me (with no experience in US auto insurance) to translate into loss cost conclusions. Maybe I need to hire a consultant who's familiar with this stuff. Your insights on what coverage would be available for which drivers in which states are exactly what I'm trying to get at. Thanks for the response.
A consultant could be very helpful in also pointing out some of the nuances for similar coverages between states. For example, while NY, MI, and MN are all no-fault states, MN isn't overly problematic with fraudulent claims while both NY and MI have considerable fraud (and claim build-up) problems.
__________________
I find your lack of faith disturbing

Why should I worry about dying? It’s not going to happen in my lifetime!


Freedom of speech is not a license to discourtesy

#BLACKMATTERLIVES
Reply With Quote
  #8  
Old 08-22-2017, 12:14 PM
Beach Bum Beach Bum is offline
Member
CAS AAA
 
Join Date: Dec 2005
Location: Currently away from an Ocean
Favorite beer: Alpha King
Posts: 1,907
Default

The National Highway Traffic Safety Administration (NHTSA) publishes an annual detailed report of crash, injury, fatality statistics. It's a 200+ PDF that includes various By-State metrics. Chapter 5 from last year's report has the state metrics.

Much of the frequency measures are based on fatalities (per miles driven, per vehicle registrants, etc). However, you could normalize this to some extent for liability claims, or at least use it for by-state relativities.

It's free, in case you don't have access to ISO.
Reply With Quote
  #9  
Old 08-22-2017, 12:29 PM
oirg oirg is offline
Member
CAS
 
Join Date: Oct 2003
Posts: 8,237
Default

Might also want to check out some info from the American Trucking Association, not sure if they have what you're looking for, though.

http://www.trucking.org/News_and_Inf...n_Reports.aspx
Reply With Quote
  #10  
Old 08-22-2017, 01:26 PM
Matty Matty is offline
Member
CAS
 
Join Date: Oct 2003
Location: Toronto
Favorite beer: Sleeman Cream Ale
Posts: 2,409
Default

Quote:
Originally Posted by Vorian Atreides View Post
A consultant could be very helpful in also pointing out some of the nuances for similar coverages between states. For example, while NY, MI, and MN are all no-fault states, MN isn't overly problematic with fraudulent claims while both NY and MI have considerable fraud (and claim build-up) problems.
Thanks. Please PM me if you know any consultants who do this (or if you are one!)

I'd also be up for an information exchange if there are any US carriers out there with trucking exposures into Canada who have similar questions. PM me if interested.

Thanks all.
Reply With Quote
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off


All times are GMT -4. The time now is 08:26 PM.


Powered by vBulletin®
Copyright ©2000 - 2018, Jelsoft Enterprises Ltd.
*PLEASE NOTE: Posts are not checked for accuracy, and do not
represent the views of the Actuarial Outpost or its sponsors.
Page generated in 0.51766 seconds with 9 queries