Aida 182 - Risk And Insurance Analysis Techniques |140 Questions| With Correct Answers.

loss ratio method {Ans: A method for determining insurance rates based on a comparison of actual and expected loss ratios}average annual loss (AAL) {Ans: the long-term average loss expected in any one year for in-force policies for the cause of loss being modeled}calendar-year method {Ans: A method of collecting ratemaking data that estimates both earned premiums and incurred losses by formulas from accounting records}loss cost multiplier {Ans: A factor that provides for differences in expected loss, individual company expenses, underwriting profit and contingencies; when multiplied with a loss cost, it produces a rate.}regression analysis {Ans: A statistical technique that is used to estimate relationships between variables.}pure premium method {Ans: a method for calculating insurance rates using estimates of future losses and expenses, including a profit and contingencies factor}