The Comparison of the Results of Credibility Modelling and the Regression Models with Real Data for Extreme Losses of Natural Hazards in the Czech Republic

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F46747885%3A24310%2F21%3A00009290" target="_blank" >RIV/46747885:24310/21:00009290 - isvavai.cz</a>

Result on the web

<a href="https://drive.google.com/file/d/1FNzI-s_EVrS3jV5zH6gK-9ibEuqMudUs/view?pli=1" target="_blank" >https://drive.google.com/file/d/1FNzI-s_EVrS3jV5zH6gK-9ibEuqMudUs/view?pli=1</a>

DOI - Digital Object Identifier

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Result language

angličtina

Original language name

The Comparison of the Results of Credibility Modelling and the Regression Models with Real Data for Extreme Losses of Natural Hazards in the Czech Republic

Original language description

Credibility theory is an actuarial approach that is used to calculate insurance premiums. The aim of this article is: to compare the results of the calculation of the credibility premium based on real data collected from the non-life Czech insurance industry with the results of the prediction of premium development using the regression model and the actual results for the insurance market in non-life insurance in the Czech Republic. The Czech insurance market is affected badly by the natural hazards, which in many cases have high losses. This research compares the results of an empirical study for calculating the credibility of premiums during the period from 2006 to 2018 with the results of predicting the development of premiums using a regression model and with the actual results for the insurance market in non-life insurance in the Czech Republic. The past data are collected from the Czech non-life insurance market considering the amount of the three highest risks areas and the number of extreme losses in each area. Considering the number of extreme losses, the results of this paper can be a good guide to the Czech insurance industry in the case of occurring extreme losses in natural hazards, which of the methods is suitable for estimating the development of premiums.

Czech name

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Czech description

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Type

O - Miscellaneous

CEP classification

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OECD FORD branch

50204 - Business and management

Project

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Continuities

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Publication year

2021

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů