Categories
- ACTUARIAL DATA SCIENCE
- AFIR / ERM / RISK
- ASTIN / NON-LIFE
- BANKING / FINANCE
- DIVERSITY & INCLUSION
- EDUCATION
- HEALTH
- IACA / CONSULTING
- LIFE
- PENSIONS
- PROFESSIONALISM
- Thought Leadership
- MISC
In this article, We prove the reliability of hybrid models in loss
reserving, especially when the data contain fuzziness for example when the claims are related to body injures [34]. We estimate a hybrid log-linear model (log-Poisson) using the fuzzy least-squares (FLS) procedures [10,11, 22,23]. We develop a new goodness of fit index to compare this new model and the classical log-Poisson regression in loss reserving framework [31]. Both the classical log-Poisson model and the hybrid one are performed on a loss reserving data. According to the goodness of fit index and the Mean Square Error, we prove that the new model provide better results than the log-Poisson model.
0 Comments
There are no comments yet. Add a comment.