SOP.UnpaidClms
Pop Quiz
Study Tips
This reading is only 2 pages. It provides definitions of basic terms like claim and coverage as well as 3 Principles regarding unpaid claims estimates. The definitions are obvious and you can take a few minutes to scan them if you'd like (link provided below.) The only things you specifically have to memorize are the 3 principles.
Estimated study time: 30 minutes (not including subsequent review time)
BattleTable
Based on past exams, the main things you need to know (in rough order of importance) are:
- how to assess reserving issues using common sense
reference part (a) part (b) part (c) part (d) E (2013.Fall #15) reserve study design:
- considerationsFriedland06.Diagnostics Friedland06.Diagnostics Friedland06.Diagnostics
In Plain English!
Here's a link to the source text:
Here's the essence of the 3 principles:
Principle 1
- An unpaid claims estimate is reasonable if you have used reasonable assumptions & methods, and your results are imply consistency with other available information (Ex: metrics like frequency & severity, comparison to prior quarters, comparison to industry data.)
Principle 2
Principle 3
