CAS Exam 5 Spring 2014, Question 17

Study guide: Exam 5

The actuary has observed that the adequacy of case outstanding is increasing for an insurer. Describe how each of the following would be influenced by this change and briefly explain why:

i. Reported Claim Development Technique ii. Expected Claim Technique iii. Reported Bornhuetter-Ferguson Technique iv. Reported Cape Cod Technique

Part a (2 points)

Answer this question and see the worked solution

Concepts tested

• Case Adequacy
• Cape Cod Method
• Actuary
• Insurance Premium
• Chain Ladder Method
• Expected Loss Method
• Bornhuetter-Ferguson Method
• Changing Conditions

More questions from this set

• CAS Exam 5 Spring 2014, Question 16
• CAS Exam 5 Spring 2014, Question 18