Dijous 11 de juny, el Dipòsit Digital no estarà operatiu de 15:00 a 17:00 h per tasques de manteniment. Disculpeu les molèsties.
El jueves 11 de Junio, el Dipòsit Digital no estará operativo de 15:00 a 17:00 h debido a tareas de mantenimiento. Disculpen las molestias.
Thursday, Jun 11th, the Digital Repository will be unavailable due to a system update.

Files

Risk14-05_Alemany.pdf (1.05 MB)

Document type

Working paper

Publication date

2014

Publication license

cc-by-nc-nd, (c) Alemany et al., 2014
Please use this identifier to cite or link to this item: https://hdl.handle.net/2445/98448

Accounting for severity of risk when pricing insurance products

Journal Title

Authors

Director/Tutor

Journal ISSN

Volume Title

Related resource

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.

Subject

Risc (Assegurances), Gestió del risc, Previsió dels negocis, Estadística matemàtica, Estadística no paramètrica

Subject (English)

Risk (Insurance), Risk management, Business forecasting, Mathematical statistics, Nonparametric statistics

Citation

Collections

UB RISKCENTER – Working Papers Series

Citation

ALEMANY LEIRA, Ramon, BOLANCÉ LOSILLA, Catalina and GUILLÉN, Montserrat. Accounting for severity of risk when pricing insurance products. UB Riskcenter Working Paper Series. 2014/05. [consulted: 10 of June of 2026]. Available at: https://hdl.handle.net/2445/98448

Export metadata

JSON - METS

Share record