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http://hdl.handle.net/2445/98448
Title: | Accounting for severity of risk when pricing insurance products |
Author: | Alemany Leira, Ramon Bolancé Losilla, Catalina Guillén, Montserrat |
Keywords: | Risc (Assegurances) Gestió del risc Previsió dels negocis Estadística matemàtica Estadística no paramètrica Risk (Insurance) Risk management Business forecasting Mathematical statistics Nonparametric statistics |
Issue Date: | 2014 |
Publisher: | Universitat de Barcelona. Riskcenter |
Series/Report no: | [WP E-RC14/05] |
Abstract: | We design a system for improving the calculation of the price to be charged for an insurance product. Standard pricing techniques generally take into account the expected severity of potential losses. However, the severity of a loss can be extremely high and the risk of a severe loss is not homogeneous for all policy holders. We argue that risk loadings should be based on risk evaluations that avoid too many model assumptions. We apply a nonparametric method and illustrate our contribution with a real problem in the area of motor insurance. |
Note: | Reproducció del document publicat a: http://www.ub.edu/riskcenter/research/WP/UBriskcenterWP201402.pdf |
It is part of: | UB Riskcenter Working Paper Series, 2014/05 |
URI: | http://hdl.handle.net/2445/98448 |
Appears in Collections: | UB RISKCENTER – Working Papers Series |
Files in This Item:
File | Description | Size | Format | |
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Risk14-05_Alemany.pdf | 1.08 MB | Adobe PDF | View/Open |
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