IDEAS home Printed from https://ideas.repec.org/p/hal/wpaper/hal-01855972.html
   My bibliography  Save this paper

Credibility Premium Estimation of Insurance Claims in Nigeria

Author

Listed:
  • Queensley C Chukwudum

    (PAUSTI - Pan African University Institute of Basic Sciences, Technology and Innovation)

Abstract

In this paper one of the foundational theories in actuarial science-the Empirical Bayes credibility theory model 1 (Buhlmann model), is applied to estimate the pure risk premium based on the aggregate net claim data of 5 years (2009-2013). This involves estimating the credibility premium in the next year (2014). Five different classes of risk are considered from the insurance industry in Nigeria-fire, accident, motor, marine and, oil and gas insurance portfolios. Verification of the unbiasedness of the structural parameters of the credibility factor is presented. A chi-square goodness of fit test is carried out to compare the estimated values with the actual claim data. The result shows that there is no significant difference between the estimated values and the actual values for the year 2014.

Suggested Citation

  • Queensley C Chukwudum, 2018. "Credibility Premium Estimation of Insurance Claims in Nigeria," Working Papers hal-01855972, HAL.
    • Handle: RePEc:hal:wpaper:hal-01855972
    Note: View the original document on HAL open archive server: https://hal.science/hal-01855972
    as

    Download full text from publisher

    File URL: https://hal.science/hal-01855972/document
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Dickson, David C.M., 2013. "Risk Modelling in General Insurance, Roger J. Gray, Susan M. Pitts, Cambridge University Press, 2012, 393 pp. (hardback). ISBN: 9780521863940," Annals of Actuarial Science, Cambridge University Press, vol. 7(2), pages 345-346, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.

      Corrections

      All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:wpaper:hal-01855972. See general information about how to correct material in RePEc.

      If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

      If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

      If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

      For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

      Please note that corrections may take a couple of weeks to filter through the various RePEc services.

      IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.