Generalized Linear Models in Vehicle Insurance
Actuaries in insurance companies try to find the best model for an estimation of insurance premium. It depends on many risk factors, e.g. the car characteristics and the profile of the driver. In this paper, an analysis of the portfolio of vehicle insurance data using a generalized linear model (GLM...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Mendel University Press
2014-01-01
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| Series: | Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis |
| Subjects: | |
| Online Access: | https://acta.mendelu.cz/62/2/0383/ |
| _version_ | 1811259119410085888 |
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| author | Silvie Kafková Lenka Křivánková |
| author_facet | Silvie Kafková Lenka Křivánková |
| author_sort | Silvie Kafková |
| collection | DOAJ |
| description | Actuaries in insurance companies try to find the best model for an estimation of insurance premium. It depends on many risk factors, e.g. the car characteristics and the profile of the driver. In this paper, an analysis of the portfolio of vehicle insurance data using a generalized linear model (GLM) is performed. The main advantage of the approach presented in this article is that the GLMs are not limited by inflexible preconditions. Our aim is to predict the relation of annual claim frequency on given risk factors. Based on a large real-world sample of data from 57 410 vehicles, the present study proposed a classification analysis approach that addresses the selection of predictor variables. The models with different predictor variables are compared by analysis of deviance and Akaike information criterion (AIC). Based on this comparison, the model for the best estimate of annual claim frequency is chosen. All statistical calculations are computed in R environment, which contains stats package with the function for the estimation of parameters of GLM and the function for analysis of deviation. |
| first_indexed | 2024-04-12T18:25:39Z |
| format | Article |
| id | doaj.art-bfbe2e6e481c40adb8122bd25ad542d7 |
| institution | Directory Open Access Journal |
| issn | 1211-8516 2464-8310 |
| language | English |
| last_indexed | 2024-04-12T18:25:39Z |
| publishDate | 2014-01-01 |
| publisher | Mendel University Press |
| record_format | Article |
| series | Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis |
| spelling | doaj.art-bfbe2e6e481c40adb8122bd25ad542d72022-12-22T03:21:14ZengMendel University PressActa Universitatis Agriculturae et Silviculturae Mendelianae Brunensis1211-85162464-83102014-01-0162238338810.11118/actaun201462020383Generalized Linear Models in Vehicle InsuranceSilvie Kafková0Lenka Křivánková1Masaryk University, Faculty of Economics and Administration, Lipová 41a, 602 00 Brno, Czech RepublicMasaryk University, Faculty of Science, Kotlářská 2, 611 37 Brno, Czech RepublicActuaries in insurance companies try to find the best model for an estimation of insurance premium. It depends on many risk factors, e.g. the car characteristics and the profile of the driver. In this paper, an analysis of the portfolio of vehicle insurance data using a generalized linear model (GLM) is performed. The main advantage of the approach presented in this article is that the GLMs are not limited by inflexible preconditions. Our aim is to predict the relation of annual claim frequency on given risk factors. Based on a large real-world sample of data from 57 410 vehicles, the present study proposed a classification analysis approach that addresses the selection of predictor variables. The models with different predictor variables are compared by analysis of deviance and Akaike information criterion (AIC). Based on this comparison, the model for the best estimate of annual claim frequency is chosen. All statistical calculations are computed in R environment, which contains stats package with the function for the estimation of parameters of GLM and the function for analysis of deviation.https://acta.mendelu.cz/62/2/0383/vehicle insurancegeneralized linear modelpoisson distributionlink functionanalysis of devianceAkaike information criterion |
| spellingShingle | Silvie Kafková Lenka Křivánková Generalized Linear Models in Vehicle Insurance Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis vehicle insurance generalized linear model poisson distribution link function analysis of deviance Akaike information criterion |
| title | Generalized Linear Models in Vehicle Insurance |
| title_full | Generalized Linear Models in Vehicle Insurance |
| title_fullStr | Generalized Linear Models in Vehicle Insurance |
| title_full_unstemmed | Generalized Linear Models in Vehicle Insurance |
| title_short | Generalized Linear Models in Vehicle Insurance |
| title_sort | generalized linear models in vehicle insurance |
| topic | vehicle insurance generalized linear model poisson distribution link function analysis of deviance Akaike information criterion |
| url | https://acta.mendelu.cz/62/2/0383/ |
| work_keys_str_mv | AT silviekafkova generalizedlinearmodelsinvehicleinsurance AT lenkakrivankova generalizedlinearmodelsinvehicleinsurance |