Latent claims (1990)

Document description

This report is largely a survey of the background to the main types of latent claims currently being faced by UK insurers, reinsurers and syndicates, together with some suggested approaches to reserving for such claims. We also conducted a survey of reserving practices, which is included. Although the report is long, each section is largely self-contained, and it should be possible to read only those sections of interest without loss of understanding. We include a detailed contents section to aid reference. The Working Party members are still learning about many of the issues covered by the paper, and inevitably there will be some factual errors. The report should therefore be seen as part of the process of getting at the truth, rather than as a definitive statement of the current position. We hope that the review of the paper by actuaries and others will identify and correct these errors.