Ratemaking and Reserving for Casualty Insurance - ACS 607

Finding policy premium using Rate Manuals; Exposure aggregation methods (written, earned or in-force exposures, calendar year, policy year or accident year accumulation; Use of premiums for ratemaking (written, earned or in-force premiums, effect of law changes, rate changes, premium trend and adjustment for coverage, parallelogram method); Use of loss and loss adjustment expenses for ratemaking; Underwriting expense provision; Overall rate level indication using the pure premium and loss ratio methods; Segregation of data into homogenous groups; Calculation of rate differentials for each classification; Implementation of rates to achieve firm’s goals; Determination of premium for policies with coinsurance. This course covers almost 50% of CAS (Casualty Actuarial Society) Exam 5 (Basic techniques for Rating and Estimating Claim Liabilities).