Statistical Premium Rating Working Party

Document description

This paper considers how generalised linear models are used to assess the adequacy of premium rates for personal lines insurance business. It considers the practical steps involved and discusses the results for various models that were fitted to a sample set of data. The results of the models that were fitted illustrate the usefulness of these techniques when assessing the impact of several risk factors upon insurance claims experience. Being a practical paper it is hoped will make this an accessible introduction to the techniques involved.