Department of Finance

 

Date of this Version

2006

Document Type

Article

Citation

Journal of Actuarial Practice 13 (2006), pp.191-211

Comments

Copyright 2006 Absalom Press

Abstract

This paper demonstrates an approach to analyzing liability data recently developed by a Danish insurance company. The approach is based on a Champernowne distribution, which is corrected with a non-parametric estimator. The correction estimator is obtained by transforming the data set with the estimated modified Champernowne cdf and then estimating the density of the transformed data set by using the classical kernel density estimator. Our approach is illustrated by applying it to an actual data set.

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