AIN4101 - Loss Estimation
|Year of Study:||3 - 4|
|Prerequisites:||AMS3300 Statistical Inference; or with the Module Coordinator’s permission and upon endorsement of the relevant Head|
The first part of this module aims to develop students’ skills and techniques in estimation, especially in the insurance context. The second part of this module aims to provide students the knowledge on credibility theory. Topics include full and partial credibility, the Bayesian methodology, the credibility premium, the Bühlmann model, and the Bühlmann-Straub model. The last part of this module introduces techniques for analyzing a run-off triangle.
Upon completion of this module, students should be able to:
- apply various estimation techniques;
- apply the techniques in limited fluctuation credibility theory to determine insurance premiums;
- apply the techniques in greatest accuracy credibility theory to determine insurance premiums;
- analyze a run-off triangle and project the ultimate loss position;
- and apply statistical concepts to solve problems in insurance business.