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Actuarial science

What gets measured and what gets reserved: pricing, development triangles, loss distributions, capital models, and the biases each of those tools carries with it.

212 terms

1918 influenza pandemic A priori loss ratio Acquisition costs Actual production history (APH)Actual versus expected analysis (A vs E)Actuarial central estimate Actuarial fairness Actuarial non-stationarity Adverse selection Aggregation of capital requirements Allocated loss adjustment expenses (ALAE)Arrow's theorem and optimal reinsurance (stop loss)As-if restating Average annual loss (AAL)Average claim cost Benktander method Berliner criteria Bermuda Solvency Capital Requirement (BSCR)Berquist-Sherman method Best estimate liability (BEL)Biometric assumptions Bornhuetter-Ferguson method Brier score Buhlmann credibility C-ROSS (China Risk Oriented Solvency System)Calendar year effect Cape Cod method Capital allocation Capitalization reserve (France)Capping (large loss capping)Catastrophe load Catastrophe model (cat model)Catastrophe model blending Catastrophe model validation CDF: Cumulative development factor Chain ladder Champion-challenger approach Claim closure rate Claim frequency Claims closed without payment Claims development result (CDR)Claims inflation Claims reporting lag Claims reserves Clark's method Clayton copula Climate stress test Climate-conditioned PML Coefficient of variation Coherent risk measure Compound Poisson distribution Convex risk measure Copula Cornish-Fisher expansion Counterparty default risk (Solvency II)Cramer-Lundberg model Credibility theory Credit-based insurance score Cyber catastrophe scenario Cyber risk quantification (CRQ)Damage ratio Demutualization of risk Deterministic catastrophe scenario Development factor selection Deviance Earned premiums Economic capital Elicitability of risk measures Endogeneity Equalization reserve Event loss table (ELT)Events not in data (ENID)Exceedance probability Expense ratio Exposure Exposure curve Exposure rating Extreme value theory Fairness through unawareness Fat-tailed distribution Financial module (catastrophe model)First loss scale Frequency and severity Frequency-severity reserving method Future discretionary benefits (FDB)General expense reserve (France, PGG)Generalized additive model Generalized linear model (GLM)Generalized Pareto distribution Geocoding Geographic resolution of exposure data Gini coefficient and AUC (discriminatory power)Gross premium Gumbel copula Hazard module (catastrophe model)Hill estimator Historical simulation VaR Increased limit factors Increasing risk reserve (France, PRC)Incurred losses Independent reserve review Indexation Indirect discrimination Individual claims reserving Investment income IPCC SSP scenarios Kendall tau and Spearman rho Knightian uncertainty Lapse risk (Solvency II)Law of large numbers in insurance LDF: Loss development factor Lift chart Link function Liquidity risk reserve (France, PRE)Lognormal distribution Loss adjustment expenses (LAE)Loss development triangle (chain ladder)Loss threshold (crop insurance)Loss-absorbing capacity of deferred taxes (LAC DT)Mack method MBBEFD curve Mean excess plot Medium-term hurricane rates Model calibration Model risk Monte Carlo simulation Moral hazard Mortality improvement trend Multicollinearity Munich chain ladder NAIC Schedule P Natural hedge Negative binomial distribution NGFS scenarios No-claims discount Non-life loss reserving Non-modeled perils Oasis Loss Modelling Framework (Oasis LMF)Ogden rate Olympic average (reference yield)Operating ratio Operational risk (Solvency II)ORSA (Own Risk and Solvency Assessment)Over-dispersed Poisson bootstrap Overconfidence Own view of risk Paid and incurred triangles Paid-to-incurred ratio Panjer recursion Peaks over threshold Periodical payment order (PPO)Premium and reserve risk (Solvency II)Price optimization PRIIPs credit risk measure (CRM) and summary risk indicator (SRI)PRIIPs market risk measure (MRM)Prior-year reserve development Probable Maximum Loss (PML) / Estimated Maximum Loss (EML)Propensity model Provision for financial contingencies (France, PAF)Pure premium Rate adequacy Rating relativity Rating segmentation Reference class forecasting Regularization (lasso and ridge)Regulatory correlation matrix Reserving cycle Return period Reverse stress test Riebesell method Risk horizon Risk loading Risk-adjusted rate change monitoring Ruin theory Schnieper method Secondary uncertainty Severity Solvency Capital Requirement (SCR)Solvency II internal model Solvency II standard formula Spectral risk measure Statement of Actuarial Opinion Stochastic event set Stochastic reserving Student t copula Survival ratio (asbestos and environmental)Symmetric adjustment (equity risk)Tail correlation Tail development factor Taylor separation method Technical price Temporal clustering of events Territorial rating Tragedy of the commons Trend Trend risk Tweedie family Ultimate loss Unallocated loss adjustment expenses (ULAE)Under-reserving Undertaking specific parameter Unearned premium reserve US risk-based capital (RBC)Value at Risk and Tail Value at Risk (VaR, TVaR)Value at Risk backtesting VaR-equivalent volatility (VEV)Veil of ignorance Vulnerability module Walk-away price Wang transform Written premiums Year loss table (YLT)

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