Actuarial Modelling of Claim Counts Risk Classification, Credibility ...

Risk Classification 99
Number of policyholders
17000
16000
15000
14000
13000
12000
11000
10000
9000
8000
7000
6000
5000
4000
3000
2000
1000
0
LP LP LP MP MP MP SP SP
18–22 23–30 >30 18–22 23–30 >30 18–22 23–30
Interaction Age–Power
SP
>30
Annual claim frequency
0.36
0.34
0.32
0.30
0.28
0.26
0.24
0.22
0.20
0.18
0.16
0.14
0.12
0.10
0.08
0.06
0.04
0.02
0.00
0.000
LP
18–22
0.253
LP
23–30
0.158
0.341
0.218
0.171
0.302
0.204
LP MP MP MP SP SP
>30 18–22 23–30 >30 18–22 23–30
Interaction Age–Power
0.160
SP
>30
Figure 2.16 Composition of Portfolio B with respect to the Age–Power interaction (left panel) and
annual claim frequencies according to the Age–Power interaction (right panel).
Table 2.9 Results of the Poisson regression for model with interactions between Age and Power,
Portfolio B.
Variable Level Coeff Std error Wald 95 % conf limit Chi-sq Pr>Chi-sq
Intercept −19248 00312 −19859 −18637 381603 −166022 6143464 −120576 1202437 000 09978
110 kW
Age ∗ Power 17–22
07596 01333 04983 10208 3247 30
00547 00357 −00152 01246 235 01250
66–110 kW
Age ∗ Power > 30 < 66 kW 0 0 0 0
Size of the city Large 02556 00306 01956 03156 6962