2017 Fall Q11

SharmishthaSharmishtha
in Odomirok.15-P

Does 'CY 2016 case incurred net loss and DCC expense' just mean 'CY 2016 Reported loss'? I am finding this terminology very confusing :s
I solved this by creating a triangle for cumulative Reported loss (Ultimate/Incurred loss triangle minus IBNR triangle) and then taking a difference of the last two columns.

Comments

  • Staff - ACStaff - AC

    It can get confusing. Yes, "case incurred" means reported.

    Your approach works. Ordinarily, I would advise against losing time creating the whole reported triangle, when you can work with the last two columns of the given triangles, as in the sample answers. But online testing allows you to do all that in Excel, so it's probably not a noticeable savings in time.

Sign In or Register to comment.