An introduction to rating casualty business
Excess-of-loss rating in longtail branches such as motor or general liability is no easy matter since estimates have to be made of claims incurred which will not in fact be determined by court ruling until 10 or 20 years later.
Every round of renewals presents the new challenge of calculating estimates of future claims burdens based on previous data or current risk profiles. This publication shows the considerations on which this procedure is based.
The brochure is not intended to serve as a course in rating but as an introduction to the essential steps involved in this demanding field of work.
