Description
Simulate General Insurance Policies and Losses.
Description
Simulate general insurance policies, losses and loss emergence. The functions contemplate deterministic and stochastic policy retention and growth scenarios. Retention and growth rates are percentages relative to the expiring portfolio. Claims are simulated for each policy. This is accomplished either be assuming a frequency distribution per development lag or by generating random wait times until claim emergence and settlement. Loss simulation uses standard loss distributions for claim amounts.