Actuarial Notes

Exam MAS-I Practice Question 95

Study guide: Exam MAS-I

A Poisson GLM with a log link is fitted to personal auto claim counts. Its linear predictor contains an intercept and the following terms:

  • \ln(\text{car-years}), entered as an offset;
  • territory, with 12 territories stored in the file as the integers 1–12 and declared categorical before fitting;
  • credit tier, with five ordered tiers A–E, entered as categorical;
  • driver age in years, entered as a single continuous term;
  • vehicle use, business or pleasure, entered as categorical.

Calculate the number of parameters the model estimates, including the intercept. Enter a whole number, e.g. 7.

Answer this question and see the worked solution

Concepts tested

More questions from this set