Reserving is insuring that company has enough reserves to meet future liabilities. Finding IBNR that is Incurred but Not reported claim is one of the most important jobs of an actuary in general insurance company.
IBNR can be calculated using various means , which are very well discribed in various literatures available , but what i learnt in short period of experiance is that, if your analysis is meticulous then whatever method you will choose you will tend to arrive at similar results.
I personally experianced following things:-
Looking at the initial data ( Triangles ) i tend to form a picture of the given portfolio in my mind. Talking with claims people and other marketing and data entry persons made me to modify my picture to some extent. Further analysis of data by forming ratios, comparing with NEP's and other things all led me to change my picture slightly also in the whole procedure i tend to find out some errors in data also and corrected those too.
After the whole exercise , when i used various methods to find IBNR , the fig. was very close to each other, which gave me further support that my analysis is getting better.
Please feel free to give useful suggestion to me and your valuable ideas and comments.
Thanks.
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